Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Board for Industrial and Financial Reconstruction Sick Industrial Companies (Special Provisions) Act 1985 jurisdiction of the Board (BIFR) Scope and ambit of |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Allowed |
Headnote | Sick Industrial Companies (Special Provisions) Act, 1985 - ss. 22(1), 26, 32 - Scope and ambit of- Company registered as a sick company - Net worth having become positive, jurisdiction of the Board for Industrial and Financial Reconstruction (BIFR) over the company - Held: The Act gives complete supervisory control to the BIFR over the affairs of a sick Industrial Company from the stage of registration of reference and questions concerning status of sickness of such company are in the exclusive domain of the BIFR - Aspects of revival of such company being completely within its exclusive domain, BIFR alone determines the issue whether such company now stands revived or not - Thus, BIFR would continue to have jurisdiction over the sick company even if its net worth become positive BIFR alone is empowered to determine whether net worth has become positive as a result of which it would cease to have such jurisdiction - Any inquiry into such issue regarding net worth by anyone outside the Act including civil court, would be against the express intent of the Act and would lead to incongruous and undesired results - Suit as framed seeking declaration that the company was no longer a sick company within the meaning of the Act, not competent and maintainable - Civil court not right and justified in issuing injunction |
Judge | Honble Mr. Justice Uday Umesh Lalit |
Neutral Citation | 2014 INSC 775 |
Petitioner | Ghanshyam Sarda |
Respondent | M/s. Shiv Shankar Trading Co. & Ors. |
SCR | [2014] 14 S.C.R. 556 |
Judgement Date | 2023-11-13 |
Case Number | 10221 |
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