Shantilal Khushaldas And … vs Shantilal Khushaldas And … on 2 November, 1990

0
33
Bombay High Court
Shantilal Khushaldas And … vs Shantilal Khushaldas And … on 2 November, 1990
Equivalent citations: 1991 70 CompCas 195 Bom
Author: H Suresh
Bench: H Suresh

JUDGMENT

H. Suresh J.

1. If one reads the agreement dated February 9, 1987, together with the agreement dated February 6, 1987, it becomes clear that the claim of other petitioner is not just a simple claim without any demur on the part of company. Inn my view, both the agreements have to be read together and it was a matter of bargain between the two parties when the present owners took over the company with all its assets and liabilities. It is in this sense that the claim of the company is bona fide and it is not a case where the company should be wound up.

2. To prove their bona fides, the company has voluntarily deposited Rs. 121,70,500 in this court.

3. Mr. Usgaonkar relied on the case of Madhusudan Gordhandas and Co. v. Madhu Woollen Industries P. Ltd., and he submits that it is not enough that the company has the ability to pay the debt but if the company chooses not to pay a particular debt, the court would have no choice but to pass an order of winding up. That of course, is subject to the major proposition that, if there is a dispute, the court will not wind up the company. This is a company otherwise functioning with over 80 workmen, and with substantial assets, and to prove their bona fides, they already deposited the amount in court.

4. Mr. Thakkar has referred to two cases, Bharat Vegetable Products, In re [1952] 22 Comp Cas 62 (Cal) and Newfinds (India) v. Vorion Chemicals and Distilleries Ltd. [1976] 46 Comp Cas 87 (Mad), and I am inclined to hold that the dispute raised is on a substantial ground and the court will not readily make any order for winding up.

5. I, therefore, pass the following order :

6. This petition stands dismissed.

7. However, the amount deposited will remain in court for a period of eight weeks from today, within which time, liberty is given to the petitioners to file an appropriate suit or adopt suitable proceedings for the recovery of the amount due to the petitioners. In the event of the petitioners adopting such proceedings as mentioned above, the amount deposited herein shall stand transferred to the account of the said proceedings for which, if necessary, the petitioners may obtain suitable directions. If no such proceedings are instituted, the amount shall be refunded to the company after the period of eight weeks.

8. Inn the circumstances of the case, there will be no order as to costs.

LEAVE A REPLY

Please enter your comment!
Please enter your name here