High Court Madras High Court

M/S.Chafex Marketing Private Ltd vs Unknown on 5 April, 2011

Madras High Court
M/S.Chafex Marketing Private Ltd vs Unknown on 5 April, 2011
       

  

  

 
 
 IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED:     05.04.2011

CORAM

THE HONOURABLE MR. JUSTICE VINOD K.SHARMA

C.P.No.51 of 2011

1  M/s.Chafex Marketing Private Ltd.
2  M/s.Esvee Marketing Private Ltd.
3  M/s.GSK Properties and Investments
       Private Limited		      		 ...  Petitioners 1 to 3/ 							   Transferor Companies

4  M/s.Medhas Consultants Private Ltd.,       ...  Petitioner No.4/
							     Transferee Company

All of them having their registered Office at
No.3, First Cross Street, Kasturbha Nagar,
Adyar, Chennai 600 020.
Rep. by their Director 
Mrs.Gomathy Viswanathan

		Company petition is filed under sections 391 and  394 of the Companies Act, 1956 to sanction the Scheme of  Amalgamation.
		For petitioner      	:  Mr.T.K.Bhaskar
		
		For Regional Director	:  Mrs.R.Jayalakshmi
		Ministry of Corporate       Addl. Central Govt. 
		affairs, Chennai		   Standing Counsel

					     *****

C O M M O N O R D E R

The company petition is filed by the Transferor Company and Transferee Company to sanction the Scheme of Amalgamation so as to be binding on all the equity shareholders of each of the petitioner Companies and on all the shareholders and creditors with effect from 01.04.2010.

2 In view of the consent given by all the shareholders of the transferor and transferee companies, this Court Vide order dated 10.02.2011 in C.A.No.129 of 2011 dispensed with the convening, holding and conducting of the meeting of the shareholders of the Transferor and Transferee Companies and permitted the petitioner companies to file Company petition for sanction of the Scheme of Amalgamation on 24.02.2011.

3 There are no secured creditors of the petitioner companies and certificate in proof issued by statutory auditor has been filed with the company petition.

4 The third and fourth petitioners being non banking finance company registered with the Reserve Bank of India have also complied with various circulars and guidelines issued by the Reserve Bank of India.

5 It is also the case of the petitioner that no investigation proceedings under Sec.235 to 251 or any other provisions of the Companies Act, 1956, are pending against the petitioner companies. The interests of the creditors of each of the petitioner company are not affected by virtue of the Scheme of Amalgamation. The unsecured creditors of each of the petitioner companies will in no way be prejudiced by the Scheme of Amalgamation, as the liabilities are taken over by the transferee company.

6 The reading of the Scheme shows that the Scheme of Amalgamation is in the interest of the equity shareholders of the each of the petitioner companies and does not prejudiced or affect the interest of the creditors.

7 On notice, an affidavit has been filed by the Regional Director, Ministry of Corporate affairs, Chennai on behalf of the Central Government, in terms of provisions of Sec.394A of the Companies Act, 1956 raising the following objections:

4 I further submit that as per para 10.2 & 10.3 of the scheme, that with effect from the appointed date and the scheme becoming effective the authorized share capital of the transferor companies shall be added to the authorized capital of the transferee company and the filing fee already paid by the Transferor companies on their authorized share capital, shall be deemed to have been so paid by the Transferee company on the combined authorized share capital. The above proposal is not acceptable and the transferee company is required to comply with the requirements of section 97 of the Act by filing Form No.5 by remitting the required Registration fees for the increased authorized capital.

8 This objection cannot be sustained in view of the Division Bench Judgment of this Court in the case of The Regional Director, Ministry of Company affairs and the Registrar of Companies Vs Cavin Plastics and Chemicals (P) Ltd. ([2008] 141 Comp Cas 475 (Mad) .

9 Consequently, this company petition is ordered. No costs.

10 The remuneration to the Additional Central Government Standing Counsel is fixed at Rs.5,000/- (Rupees five thousand only) to be paid by the petitioner companies.

vaan