Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Sick Industrial Companies |
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: Sections 15, 16 and 16(3) Explanation-Enquiry-Commencement of-Deemed date-For purposes of S.22-Held: ls the date of submission of reference under S.15. Section 22-Applicability of-High Court ordered winding up of company on account of non-payment of amounts due to its creditors-After making only a part-payment company filed reference under S.15(1) before BIFR-Thereafter, the company moved an application before Division Bench under S.22 for staying the proceedings-But application rejected-Correctness of-Held: S.22 is applicable even after winding up order is passed if conditions prescribed under it are satisfied-Mere apprehension that an unscrupulous litigant may take an undue advantage of the provision does not justify a contrary view-Reference to BIFR is not mala fide only because it was initiated after making only part-payment-Hence, High Court erred in rejecting the application. Section 15(1)-Board of Directors-Power to move BIFR-After winding up order of company and appointment of liquidator-Power of Board of Directors-Held: Board of Directors has power to move BIFR even in such cases. Companies Act, 1956: Sections 441 and 481. Company Judge-Proceedings before-Commencement and end of Winding up order of company-Held: Winding up order is not the culmination but commencement of the proceedings-Dissolution of the company is the ultimate order:Words and phrases: "Deemed"-Meaning of-In the context of S.441 of the Companies Act, 1956. |
Judge | Hon'ble Mr. Justice R.P. Sethi |
Neutral Citation | 2000 INSC 309 |
Petitioner | Rishabh Agro Industries Ltd. |
Respondent | P.n.b. Capital Services Ltd. |
SCR | [2000] Supp. (1) S.C.R. 38 |
Judgement Date | 2000-05-09 |
Case Number | 4709 |
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