{"id":241267,"date":"2006-09-14T00:00:00","date_gmt":"2006-09-13T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/jay-engineering-works-ltd-vs-industry-facilitation-council-on-14-september-2006"},"modified":"2017-04-13T02:02:06","modified_gmt":"2017-04-12T20:32:06","slug":"jay-engineering-works-ltd-vs-industry-facilitation-council-on-14-september-2006","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/jay-engineering-works-ltd-vs-industry-facilitation-council-on-14-september-2006","title":{"rendered":"Jay Engineering Works Ltd vs Industry Facilitation Council &#8230; on 14 September, 2006"},"content":{"rendered":"<div class=\"docsource_main\">Supreme Court of India<\/div>\n<div class=\"doc_title\">Jay Engineering Works Ltd vs Industry Facilitation Council &#8230; on 14 September, 2006<\/div>\n<div class=\"doc_author\">Author: S.B. Sinha<\/div>\n<div class=\"doc_bench\">Bench: S.B. Sinha, Dalveer Bhandari<\/div>\n<pre>           CASE NO.:\nAppeal (civil)  4126 of 2006\n\nPETITIONER:\nJay Engineering Works Ltd.\t\t\t\t\t\n\nRESPONDENT:\nIndustry Facilitation Council and Anr.\t\t\t\t\n\nDATE OF JUDGMENT: 14\/09\/2006\n\nBENCH:\nS.B. Sinha &amp; Dalveer Bhandari\n\nJUDGMENT:\n<\/pre>\n<p>J U D G M E N T<br \/>\n[Arising out of S.L.P. (C) No. 909 of 2005]<br \/>\nWITH<\/p>\n<p>CIVIL APPEAL NO.4127 OF 2006<br \/>\n[Arising out of S.L.P. (C) No. 991 of 2005]<\/p>\n<p>S.B. SINHA, J :\n<\/p>\n<p> \tLeave granted.\n<\/p>\n<p> \tThe Appellant herein is a public limited company engaged in<br \/>\nbusiness of manufacturing electronic fans and fuel injection equipments.<br \/>\nRespondent No. 2 is a small scale industry.  It manufactures copper wires.<br \/>\nIt supplied its products to the Appellant herein during the period 28th<br \/>\nDecember, 1996 and 3rd June, 2000.  As the Appellant Company became<br \/>\nsick, its Board of Directors made a reference in terms of Section 15 of the<br \/>\nSick Industrial Companies (Special Provisions) Act, 1985 (for short &#8216;the<br \/>\n1985 Act&#8217;) on 8.4.1994.  The Appellant Company was declared as sick<br \/>\nunit by the Board for Industrial and Financial Construction (for short &#8220;the<br \/>\nBoard&#8221;).  A rehabilitation scheme was framed by the Board but it was<br \/>\ndeclared to have failed by an order on 12.7.2001.  By reason of the said<br \/>\norder, however, Industrial Development Bank of India (IDBI) was<br \/>\nappointed as an operating agency.  A fresh report was submitted by the<br \/>\nsaid operating agency on 20th March, 2003 which was accepted by the<br \/>\nBoard whereupon a fresh rehabilitation scheme was sanctioned on<br \/>\n8.4.2003.\n<\/p>\n<p> \tIn the meanwhile, the Respondent No. 2 herein filed a claim<br \/>\npetition before the Industry Facilitation Council (for short &#8220;the Council&#8221;)<br \/>\nRespondent No. 1 herein in terms of the provisions of the Interest on<br \/>\nDelayed Payments to Small Scale and Ancillary Industrial Undertakings<br \/>\nAct, 1993 (for short &#8220;the 1993 Act&#8221;).  Before the Council, the Appellant<br \/>\nherein raised a plea that it had been declared to be a sick company by the<br \/>\nBoard and as such the matter should not be proceeded further.  The<br \/>\nCouncil, however, opined that only because the Appellant Company has<br \/>\nbeen declared sick by the Board, it would not bind the Council to take a<br \/>\ndecision in the matter.  It passed an award directing:\n<\/p>\n<p>&#8220;That upon the submissions made by both the<br \/>\nparties in the above case and in the light of<br \/>\ncontentions raised it is prayed that the delay of<br \/>\ntwo years to four years was caused by the<br \/>\nrespondents for making the payment to the<br \/>\npetitioner, which is enough.  Therefore, Council<br \/>\nhas passed the order that an amount of Rs.\n<\/p>\n<p>10,92,253.00 and one and half percent interest<br \/>\nof PLR of State Bank of India is due to the<br \/>\nPetitioner Messrs. Diamond Wire Industries,<br \/>\nRatlam, of the Respondent Messrs. Jay<br \/>\nEngineering Works Limited, New Delhi.&#8221;\n<\/p>\n<p> \tThe said award of the Council was put in execution.  The bank<br \/>\naccount of the Appellant was attached by the District Court, Ratlam.  A<br \/>\nwrit petition was filed by the Appellant herein before the Madhya<br \/>\nPradesh High Court questioning the same which by reason of the<br \/>\nimpugned judgment has been dismissed by a learned Single Judge.  A<br \/>\nLetters Patent Appeal preferred thereagainst was dismissed by the<br \/>\nimpugned judgment.\n<\/p>\n<p> \tThe High Court in its impugned judgment proceeded on the<br \/>\npremise that the 1993 Act could prevail over the 1985 Act.\n<\/p>\n<p> \tMr. S. Ganesh, learned senior counsel appearing on behalf of the<br \/>\nAppellant, at the outset, drew our attention to the fact that the award<br \/>\nmade by the Council in favour of the Respondent had been taken into<br \/>\nconsideration in the revised Scheme itself and as such the award of the<br \/>\nCouncil was non-executable.  It was urged that both the 1985 Act and<br \/>\n1993 Act operate in different fields and in that view of the matter, the<br \/>\nquestion that the 1993 Act prevailing over the 1985 Act would not arise<br \/>\nin the instant case.\n<\/p>\n<p>\tMr. Sushil Kumar Jain, learned counsel appearing on behalf of the<br \/>\nRespondents, on the other hand, submitted that the Scheme approved by<br \/>\nthe Board in 2003 is not applicable to the case of the Respondents.  It was<br \/>\nsubmitted that in any event by reason of the said Scheme the liability of<br \/>\nthe creditors could not be reduced.\n<\/p>\n<p> \tIt is not in dispute that the award was made by the Council in<br \/>\nfavour of the Respondent No. 2.  However, it is also not in dispute that<br \/>\nthe Board in terms of its order dated 8.4.2003 approved the Scheme<br \/>\nwhich inter alia envisaged the following:\n<\/p>\n<p>&#8220;(xi) Rs. 462 lakhs for Settlement of &#8220;Dormant<br \/>\nTrade Creditors&#8221; on the basis of 25% principal<br \/>\namount,\n<\/p>\n<p>(xii) Rs. 540 lakhs for settlement of current<br \/>\noverdues of suppliers to be paid over a period of<br \/>\n18 months.&#8221;\n<\/p>\n<p> \tIn the said Scheme, the award made in favour of the Respondents<br \/>\nfinds place in the category of &#8216;Dormant Creditors&#8217;.  The liabilities of the<br \/>\nAppellant vis-`-vis the Respondent No. 2 was, therefore, indisputably a<br \/>\nsubject matter of the said Scheme.  The High Court, in our opinion,<br \/>\ncommitted an error in proceeding on the premise that the awarded amount<br \/>\nhad not been included and could not be included in the sanctioned<br \/>\nrehabilitation scheme, the same being part of transactions which took<br \/>\nplace after 21.11.1997 ignoring the revised scheme made in the year<br \/>\n2003.\n<\/p>\n<p> \tThe High Court furthermore opined that inclusion of the<br \/>\nRespondent as a deferred creditor in the fresh rehabilitation scheme dated<br \/>\n8.4.2003 also did not affect the situation in favour of the Appellant<br \/>\npresumably on the premise that the 1993 Act was a special Act.\n<\/p>\n<p> \tBefore we advert to the contentions raised by the learned counsel<br \/>\nfor the parties, we may notice sub-section (2) of Section 6 of the 1993<br \/>\nAct which reads as under:\n<\/p>\n<p>&#8220;(2) Notwithstanding anything contained in<br \/>\nsub-section (1), any party to a dispute may<br \/>\nmake a reference to the Industry Facilitation<br \/>\nCouncil for acting as an arbitrator or conciliator<br \/>\nin respect of the matters referred to in that sub-<br \/>\nsection and the provisions of the Arbitration and<br \/>\nConciliation Act, 1996 (26 of 1996) shall apply<br \/>\nto such disputes as the arbitration or<br \/>\nconciliation were pursuant to an arbitration<br \/>\nagreement referred to in sub-section (1) of<br \/>\nsection 7 of that Act.&#8221;\n<\/p>\n<p> \tWe may also notice that Section 10 thereof provides for a non-<br \/>\nobstante clause in the following terms:\n<\/p>\n<p>&#8220;10. Over-riding effect.&#8211;The provisions of this<br \/>\nAct shall have effect notwithstanding anything<br \/>\ninconsistent therewith contained in any other<br \/>\nlaw for the time being in force.&#8221;\n<\/p>\n<p> \tThe 1993 Act was enacted to provide for and regulate the payment<br \/>\nof interest on delayed payments to small scale and ancillary industrial<br \/>\nundertakings and for matters connected therewith.\n<\/p>\n<p> \tThe provisions of the 1993 Act, therefore, do not envisage a<br \/>\nsituation where an industrial company becomes sick and requires framing<br \/>\nof  a scheme for its revival.\n<\/p>\n<p> \tIt is no doubt true that an award in relation to a claim of a small-<br \/>\nscale industry if made by the Council would be governed by the<br \/>\nprovisions of the Arbitration and Conciliation Act, 1996 (for short &#8220;the<br \/>\n1996 Act&#8221;).\n<\/p>\n<p> \tThe 1985 Act is a complete code by itself.  Section 22 of the 1985<br \/>\nAct provides for special provisions.  Sub-section (1) of Section 22 was<br \/>\namended in the year 1994 by Act No. 12 of 1994 which reads as under:\n<\/p>\n<p>&#8220;22. Suspension of legal proceedings,<br \/>\ncontracts, etc.&#8211;(1) Where in respect of an<br \/>\nindustrial company, an inquiry under section 16<br \/>\nis pending or any scheme referred to under<br \/>\nsection 17 is under preparation or consideration<br \/>\nor a sanctioned scheme is under implementation<br \/>\nor where an appeal under sections 25 relating to<br \/>\nan industrial company is pending, then,<br \/>\nnotwithstanding anything contained in the<br \/>\nCompanies Act, 1956 (1 of 1956), or any other<br \/>\nlaw or the memorandum and articles of<br \/>\nassociation of the industrial company or any<br \/>\nother instrument having effect under the said<br \/>\nAct or other law, no proceedings for the<br \/>\nwinding up of the industrial company or for<br \/>\nexecution, distress or the like against any of the<br \/>\nproperties of the industrial company or for the<br \/>\nappointment of a receiver in respect thereof and<br \/>\nno suit for the recovery of money or for the<br \/>\nenforcement of any security against the<br \/>\nindustrial company or of any guarantee in<br \/>\nrespect of any loans or advance granted to the<br \/>\nindustrial company shall lie or be proceeded<br \/>\nwith further, except with the consent of the<br \/>\nBoard or, as the case may be, the Appellate<br \/>\nAuthority.&#8221;\n<\/p>\n<p> \tThe said provision, thus, mandates that no proceeding inter alia for<br \/>\nexecution, distress or the like against any of the properties of the<br \/>\nindustrial company and no suit for recovery of money or for the<br \/>\nenforcement of any security, shall lie or be proceeded with further, except<br \/>\nwith the consent of the Board or as the case may be, the Appellate<br \/>\nAuthority.  The said statutory injunction will operate when an inquiry had<br \/>\nbeen initiated under Section 16 or a scheme referred to under Section 17<br \/>\nis under preparation and\/ or inter alia a sanctioned scheme is under<br \/>\nimplementation.  It is not disputed before us that the amount awarded in<br \/>\nfavour of the Respondent by the Council finds specific mention in the<br \/>\nsanctioned scheme which is under implementation.\n<\/p>\n<p> \tThe award of the Council being an award, deemed to have been<br \/>\nmade under the provisions of the 1996 Act, indisputably is being<br \/>\nexecuted before a Civil Court.  Execution of an award, beyond any cavil<br \/>\nof doubt, would attract the provisions of Section 22 of the 1985 Act.<br \/>\nWhereas an adjudicatory process of making an award under the 1993 Act<br \/>\nmay not come within the purview of the 1985 Act but once an award<br \/>\nmade is sought to be executed, it shall come into play.  Once the awarded<br \/>\namount has been included in the Scheme approved by the Board, in our<br \/>\nopinion, Section 22 of the 1985 Act would apply.\n<\/p>\n<p> \tIf the liabilities of the Appellant are covered by the Scheme framed<br \/>\nunder Section 22 of the 1985 Act, the High Court was clearly in error in<br \/>\ncoming to the conclusion that the provisions thereof are not attracted only<br \/>\nbecause the debt had been incurred after the Company was declared to be<br \/>\na sick one.\n<\/p>\n<p> \tThe 1985 Act also contains a non-obstante clause in sub-section (1)<br \/>\nof Section 32 which reads as under:\n<\/p>\n<p>&#8220;32. Effect of the Act on other laws.&#8211;(1) The<br \/>\nprovisions of this Act and of any rules or<br \/>\nschemes made thereunder shall have effect<br \/>\nnotwithstanding anything inconsistent therewith<br \/>\ncontained in any other law except the provisions<br \/>\nof the Foreign Exchange Regulation Act, 1973<br \/>\n(46 of 1973) and the Urban Land (Ceiling and<br \/>\nRegulation) Act, 1976 (33 of 1976) for the time<br \/>\nbeing in force or in the Memorandum or<br \/>\nArticles of Association of an industrial<br \/>\ncompany or in any other instrument having<br \/>\neffect by virtue of any law other than this Act.&#8221;\n<\/p>\n<p> \tThe 1985 Act was enacted in public interest.  It contains special<br \/>\nprovisions.  The said special provisions had been made with a view to<br \/>\nsecure the timely detection of sick and potentially sick companies owning<br \/>\nindustrial undertakings, the speedy determination by a Board of experts<br \/>\nfor preventive, ameliorative, remedial and other measures which need to<br \/>\nbe taken with respect to such companies and the expeditious enforcement<br \/>\nof the measures so determined and for matters connected therewith or<br \/>\nincidental thereto.\n<\/p>\n<p> \tThe High Court has placed strong reliance on <a href=\"\/doc\/817874\/\">Deputy Commercial<br \/>\nTax Officer and Others v. Corromandal Pharmaceuticals and Others<\/a><br \/>\n[(1997) 10 SCC 649] wherein this Court was considering an exceptional<br \/>\nsituation by reason of the fact that the liability of the sick company for the<br \/>\nfirst time arose after the date of sanctioned scheme and the sick industrial<br \/>\nunit was enabled to collect tax due to the Revenue from the exporters<br \/>\nthereafter but declined to pay it over to the Revenue wherefor recovery<br \/>\nproceedings had to be taken.  This Court categorically opined that there<br \/>\ncannot be any impediment in the enforcement of the Scheme.  Section 22<br \/>\nof the 1985 Act provides for a safeguard against impediment that is likely<br \/>\nto be caused in the implementation of the Scheme.  Section 22 was also<br \/>\nheld to be of wide import as regards suspension of legal proceedings from<br \/>\nthe moment, the inquiry is started till after the implementation of the<br \/>\nscheme or disposal of the scheme under Section 25 of the 1985 Act.  It<br \/>\nwas categorically held:\n<\/p>\n<p>&#8220;it will be reasonable to hold that the bar or<br \/>\nembargo envisaged in Section 22(1) of the Act<br \/>\ncan apply only to such of those dues reckoned<br \/>\nor included in the sanctioned scheme.&#8221;\n<\/p>\n<p> \tThe ratio laid down in the said decision, therefore, instead of<br \/>\nassisting the Respondent assists the Appellant.\n<\/p>\n<p> \tIn Maharashtra Tubes Ltd. v. State Industrial &amp; Investment<br \/>\nCorporation of Maharashtra Ltd. and Another [(1993) 2 SCC 144] this<br \/>\nCourt held:\n<\/p>\n<p>&#8220;On the other hand, the 1985 Act was enacted,<br \/>\nas its preamble manifests, with a view to timely<br \/>\ndetection of sick or potentially sick companies<br \/>\nowning industrial undertakings, the<br \/>\nidentification of the nature of sickness through<br \/>\nexperts in relevant fields with a view to<br \/>\ndevising suitable remedial measures through<br \/>\nappropriate schemes and their expeditious<br \/>\nimplementation. Here the emphasis is to prevent<br \/>\nsickness and in cases of sick undertakings to<br \/>\nprepare schemes for their rehabilitation by<br \/>\nproviding financial assistance by way of loans,<br \/>\nadvances or guarantees or by providing reliefs,<br \/>\nconcessions or sacrifices from Central or State<br \/>\nGovernments, scheduled banks, etc. The basic<br \/>\nidea is to revive sick units, if necessary, by<br \/>\nextending further financial assistance after a<br \/>\nthorough examination of the units by experts<br \/>\nand only when the unit is found to be no more<br \/>\ncapable of rehabilitation, that the option of<br \/>\nwinding up may be resorted to&#8221;\n<\/p>\n<p> \tBoth the Acts operate in different fields.  If the 1985 Act is<br \/>\nattracted, the question of its giving way of the 1993 Act would not arise.\n<\/p>\n<p> \t<a href=\"\/doc\/677551\/\">In Allahabad Bank v. Canara Bank and Another<\/a> [(2000) 4 SCC<br \/>\n406], this Court held :\n<\/p>\n<p>&#8220;There can be a situation in law where the same<br \/>\nstatute is treated as a special statute vis-`-vis<br \/>\none legislation and again as a general statute<br \/>\nvis-`-vis yet another legislation&#8221;\n<\/p>\n<p> \tIn that case, it was further opined that although both the<br \/>\nCompanies Act, 1956 and the Recovery of Debts Due to Banks and<br \/>\nFinancial Institutions Act, 1993 are special laws, normally the latter shall<br \/>\nprevail.\n<\/p>\n<p> \tWe have noticed hereinbefore that the 1985 Act was amended in<br \/>\n1994.  The 1994 Amending Act was enacted after the coming into force<br \/>\nof the 1993 Act.\n<\/p>\n<p> \tBoth the Acts contain non-obstante clauses. Ordinary rule of<br \/>\nconstruction  is that where there are two non-obstante clauses, the latter<br \/>\nshall prevail. But it is equally well-settled that ultimate conclusion<br \/>\nthereupon would depend upon the limited context of the statute.  [See<br \/>\nAllahabad Bank  (supra)  para 34].\n<\/p>\n<p><a href=\"\/doc\/261773\/\">In  Maruti Udyog Ltd. v. Ram Lal and Others<\/a> (2005) 2 SCC 638],<br \/>\nit was observed :\n<\/p>\n<p>&#8220;The interpretation of Section 25-J of the 1947 Act<br \/>\nas propounded by Mr Das also cannot also be accepted<br \/>\ninasmuch as in terms thereof only the provisions of the<br \/>\nsaid chapter shall have effect notwithstanding anything<br \/>\ninconsistent therewith contained in any other law<br \/>\nincluding the Standing Orders made under the Industrial<br \/>\nEmployment (Standing Orders) Act, but it will have no<br \/>\napplication in a case where something different is<br \/>\nenvisaged in terms of the statutory scheme. A beneficial<br \/>\nstatute, as is well known, may receive liberal<br \/>\nconstruction but the same cannot be extended beyond<br \/>\nthe statutory scheme&#8221;\n<\/p>\n<p>\t<a href=\"\/doc\/1575265\/\">In Shri Sarwan Singh and Another v. Shri Kasturi Lal<\/a> [(1977) 1<br \/>\nSCC 750], this Court opined :\n<\/p>\n<p>&#8220;When two or more laws operate in the same field<br \/>\nand each contains a non-obstante clause stating that its<br \/>\nprovisions will override those of any other law,<br \/>\nstimulating and incisive problems of interpretation<br \/>\narise. Since statutory interpretation has no<br \/>\nconventional protocol, cases of such conflict have to<br \/>\nbe decided in reference to the object and purpose of<br \/>\nthe laws under consideration&#8221;\n<\/p>\n<p>\tThe endeavour of the court  would, however, always be to adopt a<br \/>\nrule of harmonious construction.\n<\/p>\n<p><a href=\"\/doc\/643909\/\">In NGEF Ltd. v. Chandra Developers (P) Ltd. and Another<\/a><br \/>\n[(2005) 8 SCC 219], interpreting sub-section (4) of Section 20 of  SICA,<br \/>\nit was held :\n<\/p>\n<p>&#8220;It is difficult to accept the submission of the<br \/>\nlearned counsel appearing on behalf of the<br \/>\nrespondents that both the Company Court and BIFR<br \/>\nexercise concurrent jurisdiction. If such a construction<br \/>\nis upheld, there shall be chaos and confusion. A<br \/>\ncompany declared to be sick in terms of the provisions<br \/>\nof SICA, continues to be sick unless it is directed to be<br \/>\nwound up. \tTill the company remains a sick company<br \/>\nhaving regard to the provisions of sub-section (4) of<br \/>\nSection 20, BIFR alone shall have jurisdiction as<br \/>\nregards sale of its assets till an order of winding up is<br \/>\npassed by a Company Court.&#8221;\n<\/p>\n<p>\tIt was further held :\n<\/p>\n<p>&#8220;Section 32 of SICA contains a non obstante<br \/>\nclause stating that provisions thereof shall prevail<br \/>\nnotwithstanding anything inconsistent with the<br \/>\nprovisions of the said Act and of any rules or schemes<br \/>\nmade thereunder contained in any other law for the<br \/>\ntime being in force. It would bear repetition to state<br \/>\nthat in the ordinary course although the Company<br \/>\nJudge may have the jurisdiction to pass an interim<br \/>\norder in exercise of its inherent jurisdiction or<br \/>\notherwise directing execution of a deed of sale in<br \/>\nfavour of an applicant by the Company sought to be<br \/>\nwound up, but keeping in view the express provisions<br \/>\ncontained in sub-section (4) of Section 20 of SICA<br \/>\nsuch a power, in our opinion, in the Company Judge is<br \/>\nnot available. (See BPL Ltd.)<\/p>\n<p>We may, however, observe that the opinion of the<br \/>\nDivision Bench in BPL Ltd. to the effect that the<br \/>\nwinding-up proceeding in relation to a matter arising<br \/>\nout of the recommendations of BIFR shall commence<br \/>\nonly on passing of an order of winding up of the<br \/>\nCompany may not be correct. It may be true that no<br \/>\nformal application is required to be filed for initiating<br \/>\na proceeding under Section 433 of the Companies Act<br \/>\nas the recommendations therefor are made by BIFR or<br \/>\nAAIFR, as the case may be, and, thus, the date on<br \/>\nwhich such recommendations are made, the Company<br \/>\nJudge applies its mind to initiate a proceeding relying<br \/>\non or on the basis thereof, the proceeding for winding<br \/>\nup would be deemed to have been started; but there<br \/>\ncannot be any doubt whatsoever that having regard to<br \/>\nthe phraseology used in Section 20 of SICA that BIFR<br \/>\nis the authority proprio vigore which continues to<br \/>\nremain as custodian of the assets of the Company till a<br \/>\nwinding-up order is passed by the High Court.&#8221;\n<\/p>\n<p>\t<a href=\"\/doc\/1450918\/\">In ICICI Bank Ltd. v. Sidco Leathers Ltd.  and Others<\/a> [2006) 5<br \/>\nSCALE 27] the law is stated in the following terms :\n<\/p>\n<p>&#8220;The non-obstante nature of a provision<br \/>\nalthough may be of wide amplitude, the interpretative<br \/>\nprocess thereof must be kept confined to the<br \/>\nlegislative policy.  Only because the dues of the<br \/>\nworkmen and the debt due to the secured creditors are<br \/>\ntreated pari passu with each other, the same by itself,<br \/>\nin our considered view, would not lead to the<br \/>\nconclusion that the concept of inter se priorities<br \/>\namongst the secured creditors had thereby been<br \/>\nintended to be given a total go-by.\n<\/p>\n<p> \tA non-obstante clause must be given effect to,<br \/>\nto the extent the Parliament intended and not beyond<br \/>\nthe same.&#8221;\n<\/p>\n<p> \tFor the reasons aforementioned, the impugned judgment cannot be<br \/>\nsustained.  Before parting with this case, however, we may observe that<br \/>\nwe have not adverted to the question raised by the learned counsel for the<br \/>\nRespondents as to whether the Board while implementing the scheme<br \/>\ncould reduce the quantum of the liability of creditors, as we are of the<br \/>\nopinion that such a contention need not be gone into at this stage.  It will,<br \/>\ntherefore, further be open to the Respondent No. 2 to approach the Board,<br \/>\nif any occasion arises therefor.\n<\/p>\n<p> \tThe impugned judgments are set aside.  The appeals are allowed.<br \/>\nNo costs.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Supreme Court of India Jay Engineering Works Ltd vs Industry Facilitation Council &#8230; on 14 September, 2006 Author: S.B. Sinha Bench: S.B. Sinha, Dalveer Bhandari CASE NO.: Appeal (civil) 4126 of 2006 PETITIONER: Jay Engineering Works Ltd. RESPONDENT: Industry Facilitation Council and Anr. DATE OF JUDGMENT: 14\/09\/2006 BENCH: S.B. Sinha &amp; Dalveer Bhandari JUDGMENT: J [&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-241267","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>Jay Engineering Works Ltd vs Industry Facilitation Council ... on 14 September, 2006 - 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\/jay-engineering-works-ltd-vs-industry-facilitation-council-on-14-september-2006\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Jay Engineering Works Ltd vs Industry Facilitation Council ... on 14 September, 2006 - Free Judgements of Supreme Court &amp; 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