{"id":217212,"date":"2003-07-07T00:00:00","date_gmt":"2003-07-06T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/dwarka-prasad-agarwal-d-by-lrs-vs-ramesh-chandra-agarwala-and-on-7-july-2003"},"modified":"2015-04-01T01:28:26","modified_gmt":"2015-03-31T19:58:26","slug":"dwarka-prasad-agarwal-d-by-lrs-vs-ramesh-chandra-agarwala-and-on-7-july-2003","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/dwarka-prasad-agarwal-d-by-lrs-vs-ramesh-chandra-agarwala-and-on-7-july-2003","title":{"rendered":"Dwarka Prasad Agarwal (D) By Lrs. &#8230; vs Ramesh Chandra Agarwala And &#8230; on 7 July, 2003"},"content":{"rendered":"<div class=\"docsource_main\">Supreme Court of India<\/div>\n<div class=\"doc_title\">Dwarka Prasad Agarwal (D) By Lrs. &#8230; vs Ramesh Chandra Agarwala And &#8230; on 7 July, 2003<\/div>\n<div class=\"doc_bench\">Bench: Cji., S.B. Sinha, [Ar Lakshmanan.<\/div>\n<pre>           CASE NO.:\nAppeal (civil)  4774-76 of 1996\n\nPETITIONER:\nDwarka Prasad Agarwal (D) by Lrs. And Another\t\t\t\t\t\t\n\n\nRESPONDENT:\nVs.\n\nRamesh Chandra Agarwala and Others\t\n\n\nDATE OF JUDGMENT: 07\/07\/2003\n\nBENCH:\nCJI., S.B. Sinha &amp; [AR Lakshmanan.\n\n\nJUDGMENT:\n<\/pre>\n<p>J U D G M E N T<\/p>\n<p>W I T H<\/p>\n<p>CIVIL APPEAL NOS.4777-78 OF 1996<\/p>\n<p>SINHA, S.B. :\n<\/p>\n<p>These appeals involving identical questions of law and facts were <\/p>\n<p>taken up for hearing together and are being disposed of by this common <\/p>\n<p>judgment.\n<\/p>\n<p>Civil Appeal Nos. 4774-76 of 1996 arise out of the judgments and <\/p>\n<p>orders dated 12.3.1993 and 18.3.1993 passed by the Gwalior Bench of the <\/p>\n<p>Madhya Pradesh High Court in Miscellaneous Petition Nos.1654, 1727 and <\/p>\n<p>1728 of 1991; wherein the legality\/validity of three orders passed on <\/p>\n<p>29.5.1991 by the Press and Registration Board purported to be in exercise of <\/p>\n<p>its jurisdiction under Section 8-C of the Press and Registration of Books <\/p>\n<p>Act, 1867 (for short &#8216;the Act) were questioned by the Respondent No.1 <\/p>\n<p>herein.\n<\/p>\n<p>  Civil Appeal Nos. 4777-78 of 1996 arise out of the judgment and <\/p>\n<p>order dated 29.6.1991 passed by the Gwalior Bench of the Madhya Pradesh <\/p>\n<p>High Court arising out of Misc. Appeal Nos. 60-61 of 1988. <\/p>\n<p> \tFactual matrix of the matter, shortly stated is as under:<\/p>\n<p> Ramesh Chander Agarwal s\/o late Dwarka Prasad Agarwal, a partner <\/p>\n<p>of  M\/s Dwarka Prasad Agarwal and Brothers allegedly upon taking <\/p>\n<p>advantage of his father&#8217;s ill-health made an attempt to create  a lease in <\/p>\n<p>relation to the right to publish Dainik Bhaskar from  Bhopal.  According to <\/p>\n<p>late Dwarka Prasad Agarwal, to the best of his knowledge, he did not sign <\/p>\n<p>the said document dated 13.4.1984 and in any event the same was meant to <\/p>\n<p>be applicable only for Bhopal and not for any other place.  On 13.4.1985, a <\/p>\n<p>partition\/family settlement deed was prepared wherein late Dwarka Prasad  <\/p>\n<p>Agarwal was not a signatory.  Allegedly, Bishambhar Dayal also did not <\/p>\n<p>agree  to   the  said   settlement  and  did  not  sign  the  said purported deed  <\/p>\n<p>of  family settlement.\n<\/p>\n<p>Ms. Hemlata Agarwal, eldest daughter of late Dwarka Prasad Agarwal <\/p>\n<p>through his second wife, was made a Joint Managing Director of Bhaskar <\/p>\n<p>Publications and Allied Industries.  Ramesh Chander Agarwal being <\/p>\n<p>intrigued thereby tried to increase the equity shares of the company to such <\/p>\n<p>an extent that he gets majority in the equity shares purported to be in total <\/p>\n<p>disregard and violation of the provisions of the Companies Act, 1956.  The <\/p>\n<p>said respondent also took alleged forcible possession of the Printing Press on <\/p>\n<p>3.7.1987 which had been leased out by M\/s Dwarka Prasad Agarwal and <\/p>\n<p>Brothers (the Firm) to M\/s Bhaskar Publications and Allied Industries <\/p>\n<p>Private Limited.  Allegedly, late Dwarka Prasad Agarwal and his two <\/p>\n<p>daughters were also physically assaulted by the first respondent leading to <\/p>\n<p>initiation of a proceeding under Section 145 of the Code of Criminal <\/p>\n<p>Procedure.   In the said proceedings, the Executive Magistrate directed the <\/p>\n<p>police to open  the locks put in the premises of the printing press in presence <\/p>\n<p>of both the  parties.  However, late Dwarka Prasad Agarwal was not <\/p>\n<p>permitted to run the said printing press.\n<\/p>\n<p>  Thereafter, Ramesh Chander Agarwal filed a declaration before the <\/p>\n<p>District Magistrate, Jabalpur, wherein he allegedly accepted the partnership <\/p>\n<p>of M\/s Dwarka Prasad Agarwal and others as owners of the newspaper <\/p>\n<p>Dainik Bhaskar.  In terms of the provisions of Section 5 of the Press and <\/p>\n<p>Registration of Books Act read with the rules framed  thereunder, <\/p>\n<p>declarations are required to be filed by the owner as also the printer(s) and <\/p>\n<p>publisher(s) thereof.  Six declarations were filed; three each by Respondent <\/p>\n<p>No.2 on the purported authority of late Dwarka Prasad Agarwal and three by <\/p>\n<p>the Respondent No.1.  Objections to the said declarations were filed by late <\/p>\n<p>Dwarka Prasad Agarwal before the appropriate authority.  <\/p>\n<p>By an order dated 6.6.1988, the District Magistrate, Gwalior, in <\/p>\n<p>exercise of his power under Section  8-B of the Act cancelled the said <\/p>\n<p>declarations dated 11.3.1985 filed by Respondent No.1.  He preferred an <\/p>\n<p>appeal thereagainst before the Press and Registration Appellate Board, but <\/p>\n<p>the same was ultimately withdrawn.\n<\/p>\n<p>He in the meanwhile filed a writ petition before the High Court for <\/p>\n<p>stay of the proceedings before the District Magistrate.  Although an order of <\/p>\n<p>stay was passed therein but before the same could be communicated the <\/p>\n<p>aforementioned order dated 6.6.1988 was passed.  Ramesh Chander <\/p>\n<p>Agarwal, Respondent No.1, then filed another writ petition against the said <\/p>\n<p>order dated 6.6.1988 before the High Court but the same was withdrawn on <\/p>\n<p>the ground that he had in the meanwhile availed alternative remedy of  filing <\/p>\n<p>an appeal against the same order.  During the pendency of the said appeal <\/p>\n<p>before the Board, yet another writ petition was filed by the first respondent <\/p>\n<p>marked as Writ Petition No.798 of 1988 praying therein for quashing of the <\/p>\n<p>order dated 6.6.1988 whereby the declarations were directed to be filed. <\/p>\n<p> The said appeals filed by Ramesh Chandra Agarwal were dismissed <\/p>\n<p>by the Appellate Board on 29.5.1991 holding as under :<\/p>\n<p>&#8220;(a) \tThe document at the top portion is pasted <\/p>\n<p>with thick    opaque white paper slips from <\/p>\n<p>both sides, perhaps to cover up and make <\/p>\n<p>unreasonable something which was written <\/p>\n<p>or printed under these slips;\n<\/p>\n<\/p>\n<p>(b)\tBelow the seal of the Deputy Collector and <\/p>\n<p>Executive Magistrate, Bhopal (party super-<\/p>\n<p>imposed) appears a somewhat blurred <\/p>\n<p>impressed of the seal of the Executive <\/p>\n<p>Magistrate, Gwalior;\n<\/p>\n<\/p>\n<p>(c)\tThe printed proforma of A1 is patently of <\/p>\n<p>Bhopal.  That proforma does not tally with <\/p>\n<p>the printed form produced by the Appellant <\/p>\n<p>with his application.\n<\/p>\n<p>Annexure A-1, is only a photocopy of the <\/p>\n<p>original, in the absence of which, the true <\/p>\n<p>effect of these suspicious circumstances (a) <\/p>\n<p>to (c) cannot be correctly assessed.\n<\/p>\n<p>However, the appellant admits that the <\/p>\n<p>photocopy of the declaration A-1 was <\/p>\n<p>presented by Devinder Tiwari not personally <\/p>\n<p>by him (appellant).  This Devinder Tiwari <\/p>\n<p>who, according to the appellant, as a <\/p>\n<p>Director of the Company did not file any <\/p>\n<p>letter of authority on behalf of the Company, <\/p>\n<p>or even from the appellant, to explain why <\/p>\n<p>the declaration was not presented in person <\/p>\n<p>by the appellant&#8221;.\n<\/p>\n<p>xxx\txxx\txxx\txxx\txxx<\/p>\n<p>&#8220;Nevertheless, there is no reason to differ <\/p>\n<p>from the finding of the District Magistrate, <\/p>\n<p>that Shri S.C. Shukla (Deputy Collector) <\/p>\n<p>Executive Magistrate, not being a District, <\/p>\n<p>Presidency or Sub-Divisional Magistrate <\/p>\n<p>was not competent, in view of Section 5(2) <\/p>\n<p>of the Act, to entertain and authenticate the <\/p>\n<p>declaration dated 11.3.1985, filed by the <\/p>\n<p>appellant.\n<\/p>\n<p>For all the reasons aforesaid, we would <\/p>\n<p>uphold the order dated 6.6.88 of the District <\/p>\n<p>Magistrate, Gwalior and dismiss the Appeal <\/p>\n<p>No.III filed by Ramesh Chander Agarwal.&#8221;\n<\/p>\n<p>A writ petition was filed by Ramesh Chander Agarwal thereagainst.  <\/p>\n<p>Similar writ petitions came to be filed in relation to the orders passed in <\/p>\n<p>respect of other declarations.\n<\/p>\n<p> By reason of the impugned order dated 12.3.1993, the order of the <\/p>\n<p>Appellate Board dated 29.5.1991 as also that of the District Magistrate, <\/p>\n<p>Gwalior, dated 6.6.1988 were quashed and the Appellate Board was  <\/p>\n<p>directed to consider the matter afresh within a period of three months.   <\/p>\n<p>Strangely enough, however, the same learned Judge on a review application <\/p>\n<p>filed by the first respondent herein by an order dated 18.3.1993 directed that <\/p>\n<p>the inquiry by the District Magistrate should be deferred if an application is <\/p>\n<p>filed  before  him  till  the  final outcome of  the  civil  litigations  by the <\/p>\n<p>parties.\n<\/p>\n<p>Late Dwarka Prasad Agarwal, alleging his alleged illegal <\/p>\n<p>dispossession from the printing press, filed a suit for eviction and permanent <\/p>\n<p>injunction in the court of A.D.J., Gwalior, which was registered as Suit <\/p>\n<p>No.1-A of 1988.  An application for grant of injunction in terms of Order 39, <\/p>\n<p>Rules 1 and 2 of the Code of Civil Procedure was filed wherein a prayer was <\/p>\n<p>made for grant of temporary injunction  against  Respondent No.1 <\/p>\n<p>restraining him from publishing the newspaper illegally and furthermore not <\/p>\n<p>to indulge in false propaganda and\/or to take forcible possession of the <\/p>\n<p>printing press.  Respondent No.1, Ramesh Chander Agarwala also filed a <\/p>\n<p>suit against late Dwarka Prasad Agarwal praying therein for a permanent <\/p>\n<p>injunction restraining  him from interfering with the working of the press at <\/p>\n<p>Gwalior and not to take possession thereof.  He also filed an application for <\/p>\n<p>grant of interim injunction in terms of Order 39, Rules 1 and 2 of the Code  <\/p>\n<p>of Civil Procedure.\n<\/p>\n<p> The First Additional District and Sessions Judge before whom the <\/p>\n<p>matters were pending, disposed of both the applications by a common order <\/p>\n<p>dated 28.5.1988.  The court directed maintenance of status quo by the parties <\/p>\n<p>and further directed that Ramesh Chander Agarwal would not interfere with <\/p>\n<p>the working of late Dwarka Prasad Agarwal in the matter of managing the <\/p>\n<p>affairs of the company.  However, in his order relating to the application <\/p>\n<p>filed for injunction in Suit No.2-A of 1988 of Respondent No.1, the court  <\/p>\n<p>directed the original appellant, late Dwarka Prasad Agarwal not to interfere <\/p>\n<p>in the printing and publishing of the newspaper Dainik Bhaskar from <\/p>\n<p>Gwalior.\n<\/p>\n<p>Both the parties preferred appeals before the High Court against the <\/p>\n<p>said orders which were marked as M.A. No.60 of 1988 and M.A. No.61 of <\/p>\n<p>1988.  The High Court allowed the appeal preferred by Ramesh Chander <\/p>\n<p>Agarwal and dismissed Appeal No.61 of 1988 filed by late Dwarka Prasad <\/p>\n<p>Agarwal holding that the suit for temporary injunction was barred under <\/p>\n<p>Section 10 of the Companies Act.\n<\/p>\n<p>These appeals were filed by Dwarka Prasad Agarwal (since deceased), <\/p>\n<p>questioning the legality\/correctness of the said orders.<\/p>\n<p>The   questions, in the aforementioned factual backdrop, which  arise <\/p>\n<p>for consideration in these appeals are :\n<\/p>\n<\/p>\n<p>1)\tWhether the High Court was justified in issuing a direction that <\/p>\n<p>its earlier direction contained in order dated 12.3.1993 directing <\/p>\n<p>the Appellate Board to dispose of the appeal within three <\/p>\n<p>months need not be adhered to,  if Ramesh Chander Agarwal <\/p>\n<p>files an application for stay of the inquiry by the District <\/p>\n<p>Magistrate during the pendency of the civil suit?<\/p>\n<p>2)\tWhether the civil  court had  any jurisdiction to entertain the <\/p>\n<p>suit ?\n<\/p>\n<p>Re: Question No.1 :\n<\/p>\n<p>At the outset, we may observe that when a disputed question as regard <\/p>\n<p>the right of one partner against the other to file a declaration in terms of the <\/p>\n<p>provisions of the Act had arisen for consideration, the High Court was not <\/p>\n<p>correct in issuing a subsequent direction in the review petition.  Such a <\/p>\n<p>jurisdiction the High Court did not have.  The conflicting rights of the <\/p>\n<p>parties were required to be determined in accordance with law by the <\/p>\n<p>statutory authority.  Such a dispute, it goes without saying, should be <\/p>\n<p>determined as expeditiously as possible inasmuch as  the dispute involved <\/p>\n<p>rival claims of the parties to the lis to run and manage  newspaper business.  <\/p>\n<p>In any event, while directing the statutory authority to dispose of the matter <\/p>\n<p>in accordance with law; it does not stand to any reason as to why a party to <\/p>\n<p>the lis was given such liberty so as to file an application for stay of inquiry <\/p>\n<p>by the District Magistrate till the disposal of the civil suit particularly when <\/p>\n<p>the High Court itself was of the opinion that the suit was not maintainable.  <\/p>\n<p>We fail to see any reason as to why one party to the lis should be given <\/p>\n<p>unfair advantage over another in the matter of enforcement of statutory <\/p>\n<p>rights under the said Act. The orders of the High Court   are, thus,  <\/p>\n<p>absolutely contradictory to and inconsistent with each other, and do not <\/p>\n<p>stand a moment&#8217;s scrutiny.  The impugned  orders are, therefore, set aside <\/p>\n<p>with a direction to the Appellate Board to hear out and dispose of the appeal <\/p>\n<p>as expeditiously as possible but not later than three months from the date of <\/p>\n<p>communication of this order.  It would be open to the Appellate Board to <\/p>\n<p>consider the question of adequately compensating the appellants herein on <\/p>\n<p>monetary terms in the event it comes to the conclusion that the appeal was <\/p>\n<p>liable to be dismissed.\n<\/p>\n<p>Re: Question No.2 :\n<\/p>\n<p>Sections 9 and 10 of the Companies Act are as under :<\/p>\n<p>\t&#8220;Act to override memorandum, articles etc.<\/p>\n<p>9.  \tSave as otherwise expressly provided in the Act \u2013<\/p>\n<p>(a)\tthe provisions of this Act shall have effect <\/p>\n<p>notwithstanding anything to the contrary <\/p>\n<p>contained in the memorandum or articles of <\/p>\n<p>a company, or in any agreement executed by <\/p>\n<p>it, or in any resolution passed by the <\/p>\n<p>company in general meeting or by its Board <\/p>\n<p>of directors, whether the same be registered, <\/p>\n<p>executed or passed, as the case may be, <\/p>\n<p>before or after the commencement of this <\/p>\n<p>Act; and<\/p>\n<p>(b)\tany provision contained in the <\/p>\n<p>memorandum, articles, agreement  or <\/p>\n<p>resolution aforesaid shall, to the extent to <\/p>\n<p>which it is repugnant to the provisions of <\/p>\n<p>this Act, become or be void, as the case may <\/p>\n<p>be.&#8221;\n<\/p>\n<p>&#8220;Jurisdiction of Courts.\n<\/p>\n<\/p>\n<p>10.\t(1)\tThe High Court having jurisdiction <\/p>\n<p>under this Act shall be \u2013<\/p>\n<p>(a)\tthe High Court having jurisdiction in <\/p>\n<p>relation to the place at which the registered <\/p>\n<p>office of the company concerned is situate, <\/p>\n<p>except to the extent to which jurisdiction has <\/p>\n<p>been conferred on any District Court or <\/p>\n<p>District Courts subordinate to that High <\/p>\n<p>Court in pursuance of sub-section (2); and<\/p>\n<p>(b)\twhere jurisdiction has been so conferred, the <\/p>\n<p>District Court in regard to matters falling <\/p>\n<p>within the scope of the jurisdiction <\/p>\n<p>conferred, in respect of companies having <\/p>\n<p>their registered offices in the district.\n<\/p>\n<p>(2)\tThe Central Government may, by <\/p>\n<p>notification in the Official Gazette and subject to <\/p>\n<p>such restrictions, limitations and conditions as it <\/p>\n<p>thinks fit, empower and District Court to exercise <\/p>\n<p>all or any of the jurisdiction conferred by this Act <\/p>\n<p>upon the Court, not being the jurisdiction <\/p>\n<p>conferred \u2013<\/p>\n<p>(a)\tin respect of companies generally, by <\/p>\n<p>sections 237, 391, 394, 395 and 397 to 407, <\/p>\n<p>both inclusive;\n<\/p>\n<\/p>\n<p>(b)\tin respect of companies with a paid-up share <\/p>\n<p>capital of not less than one lakh of rupees, <\/p>\n<p>by Part VII (sections 425 to 560) and the <\/p>\n<p>other provisions of this Act relating to the <\/p>\n<p>winding up of companies.\n<\/p>\n<p>(3)\tFor the purposes of jurisdiction to wind up <\/p>\n<p>companies, the expression &#8220;registered office&#8221; <\/p>\n<p>means the place which has longest been the <\/p>\n<p>registered office of the company during the six <\/p>\n<p>months immediately preceding the presentation <\/p>\n<p>of the petition for winding up.&#8221;\n<\/p>\n<p>A bare perusal of the aforementioned provisions leaves no manner of <\/p>\n<p>doubt that thereby the jurisdiction of the civil court has not been ousted.  The <\/p>\n<p>civil court, in the instant case, was concerned with the rival claims of the <\/p>\n<p>parties as to whether one party has illegally been dispossessed by the other <\/p>\n<p>or not.  Such a suit, apart from the general law, would also be maintainable <\/p>\n<p>in terms of Section 6 of the Specific Relief Act, 1963.  In such matters the <\/p>\n<p>court would not be concerned even with the question as to title\/ownership of <\/p>\n<p>the property.\n<\/p>\n<p>In India, it is trite, that a person cannot be forcibly dispossessed <\/p>\n<p>except in accordance with law. [See Lallu Yeshwant Singh (dead) by legal <\/p>\n<p>representatives vs. Rao Jagdish Singh and Others AIR 1968 SC 620 at Page <\/p>\n<p>622].\n<\/p>\n<p><a href=\"\/doc\/1179591\/\">In Suvvari Sanyasi Apparao and Another vs. Bodderpalli <\/p>\n<p>Lakshminarayana and Another<\/a> (1962) Supp. 1 SCR 8], this Court upon <\/p>\n<p>considering the  Press and Registration of Books Act, 1867 observed that the <\/p>\n<p>matter relating to ownership of the press is a matter of general law and the <\/p>\n<p>Court, thus,  must follow that law.  It was observed that a declared keeper of <\/p>\n<p>the press is not necessarily the owner thereof so as to be able to confer title <\/p>\n<p>to the press upon another.\n<\/p>\n<p>The dispute between the parties was eminently a civil dispute and not <\/p>\n<p>a dispute under the provisions of the Companies Act.  Section 9 of the Code <\/p>\n<p>of Civil Procedure confers jurisdiction upon the civil courts to determine all <\/p>\n<p>dispute of civil nature unless the same is barred under a statute either <\/p>\n<p>expressly or by necessary implication.  Bar of jurisdiction of a civil court is <\/p>\n<p>not to be readily inferred.  A provision seeking to bar jurisdiction of civil <\/p>\n<p>court requires strict interpretation.  The court, it is well-settled, would <\/p>\n<p>normally lean in favour of construction, which would uphold retention of <\/p>\n<p>jurisdiction of the civil court.  The burden of proof in this behalf shall be on <\/p>\n<p>the party who asserts that the civil court&#8217;s jurisdiction is ousted. [See  <\/p>\n<p>Sahebgouda (dead) by <a href=\"\/doc\/70038525\/\">Lrs. and Others vs. Ogeppa and Others<\/a> [2003 (3) <\/p>\n<p>Supreme 13].  Even otherwise, the civil court&#8217;s jurisdiction is not completely <\/p>\n<p>ousted under the Companies Act, 1956.\n<\/p>\n<p>  In R. Prakasam vs. Sree Narayana Dharma Paripalana Yogam [1980 <\/p>\n<p>(50) CC 611], it has been held that :\n<\/p>\n<p>&#8220;\u2026The purpose of  s.2(11) read with s.10 is only <\/p>\n<p>to enable the shareholders to decide as to which <\/p>\n<p>court they should approach for remedy, in respect <\/p>\n<p>of that particular matter.  It is difficult to construe <\/p>\n<p>the definition clause as one conferring jurisdiction, <\/p>\n<p>exclusive or otherwise; and even s.10 refers only <\/p>\n<p>to &#8220;the court having jurisdiction under this Act&#8221;, <\/p>\n<p>i.e., where such jurisdiction is conferred by the <\/p>\n<p>Act, as under Sections 107, 155, 163(2), 237, 397, <\/p>\n<p>425, etc.  In other words, the conferment of <\/p>\n<p>jurisdiction on &#8220;the court&#8221; is not under s. 10, but <\/p>\n<p>by other provisions of the Act like those <\/p>\n<p>enumerated above.  If, on the other hand, Sections <\/p>\n<p>2(11) and 10 are construed as not only nominating <\/p>\n<p>the courts, but also conferring exclusive <\/p>\n<p>jurisdiction on them, the specific provisions in the <\/p>\n<p>other sections  conferring jurisdiction on the court <\/p>\n<p>to deal with the matters covered by them will <\/p>\n<p>become redundant.  It may be that where the Act <\/p>\n<p>specifies the company court as the forum for <\/p>\n<p>complaint in respect of a particular matter, the <\/p>\n<p>jurisdiction of the civil court would stand ousted to <\/p>\n<p>that extent.  This depends, as already noticed, on <\/p>\n<p>the language of the particular provisions (like <\/p>\n<p>Sections 107, 155, 397 and others) and not on <\/p>\n<p>Sections 2(11) and 10\u2026&#8221;\n<\/p>\n<p>Yet again in Maharaja Exports and Another vs. Apparels Exports <\/p>\n<p>Promotional Council  [1986 (60) CC  353], the Delhi High Court held :<\/p>\n<p>&#8220;Under section 9 of the Code of Civil <\/p>\n<p>Procedure, 1908, civil courts have jurisdiction to <\/p>\n<p>try all suits of a civil nature excepting suits of <\/p>\n<p>which their cognizance is expressly or impliedly <\/p>\n<p>barred.  Unlike some statutes, the Companies Act <\/p>\n<p>does not contain any express provision barring the <\/p>\n<p>jurisdiction of the ordinary civil courts in matters <\/p>\n<p>covered by the provisions of the Act.  In certain <\/p>\n<p>cases like winding-up of companies, the <\/p>\n<p>jurisdiction of civil courts is impliedly barred.<\/p>\n<p>Where a person objects to the election of <\/p>\n<p>directors and claims a decree for a declaration that <\/p>\n<p>he was one of the directors, there is no provision <\/p>\n<p>which bars the civil court either expressly or by <\/p>\n<p>implication from trying such a suit&#8221;\n<\/p>\n<\/p>\n<p>\t\tIn the present suit also, besides other reliefs, <\/p>\n<p>the plaintiff has sought a declaration that all the 27 <\/p>\n<p>members of the existing executive committee are <\/p>\n<p>not entitled to hold the respective offices in view <\/p>\n<p>of the judgment of this court and further that the 18 <\/p>\n<p>members of the executive committee who have <\/p>\n<p>retired by rotation are not entitled to continue in <\/p>\n<p>office as members of the executive committee.  <\/p>\n<p>The judgment, referred to above, fairly and <\/p>\n<p>squarely applies to the facts of the present case and <\/p>\n<p>there is no reason to oust the jurisdiction of this <\/p>\n<p>court to entertain the present suit.  Under these <\/p>\n<p>circumstances, this issue is decided in favour of <\/p>\n<p>the plaintiff and against the defendants.&#8221; <\/p>\n<p>In that view of the matter, we are of the opinion that the civil suit was <\/p>\n<p>maintainable.  In any event, we fail to understand and rather it is strange as <\/p>\n<p>to how the High Court while rejecting relief to the original plaintiff, (late <\/p>\n<p>Dwarka Prasad Agarwal), granted a similar relief in favour of the first <\/p>\n<p>respondent herein.\n<\/p>\n<p> The impugned orders are, therefore, set aside.  The matters are <\/p>\n<p>remitted to the Collector\/High Court for a fresh decision on merits as <\/p>\n<p>expeditiously as possible within a period of three months, keeping in view <\/p>\n<p>the observations made hereinabove. These appeals are allowed with costs.  <\/p>\n<p>Counsel&#8217;s fee assessed at Rs.25,000\/- (Rupees twenty five thousand only).<\/p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Supreme Court of India Dwarka Prasad Agarwal (D) By Lrs. &#8230; vs Ramesh Chandra Agarwala And &#8230; on 7 July, 2003 Bench: Cji., S.B. Sinha, [Ar Lakshmanan. CASE NO.: Appeal (civil) 4774-76 of 1996 PETITIONER: Dwarka Prasad Agarwal (D) by Lrs. And Another RESPONDENT: Vs. Ramesh Chandra Agarwala and Others DATE OF JUDGMENT: 07\/07\/2003 BENCH: [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[30],"tags":[],"class_list":["post-217212","post","type-post","status-publish","format-standard","hentry","category-supreme-court-of-india"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.6 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Dwarka Prasad Agarwal (D) By Lrs. ... vs Ramesh Chandra Agarwala And ... on 7 July, 2003 - Free Judgements of Supreme Court &amp; High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/dwarka-prasad-agarwal-d-by-lrs-vs-ramesh-chandra-agarwala-and-on-7-july-2003\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Dwarka Prasad Agarwal (D) By Lrs. ... vs Ramesh Chandra Agarwala And ... on 7 July, 2003 - Free Judgements of Supreme Court &amp; 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