{"id":71177,"date":"2010-12-13T00:00:00","date_gmt":"2010-12-12T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/idbi-vs-nirma-on-13-december-2010"},"modified":"2016-10-29T18:15:39","modified_gmt":"2016-10-29T12:45:39","slug":"idbi-vs-nirma-on-13-december-2010","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/idbi-vs-nirma-on-13-december-2010","title":{"rendered":"Idbi vs Nirma on 13 December, 2010"},"content":{"rendered":"
Gujarat High Court<\/div>\n
Idbi vs Nirma on 13 December, 2010<\/div>\n
Author: Akil Kureshi,&Nbsp;<\/div>\n
   Gujarat High Court Case Information System \n\n  \n  \n    \n\n \n \n    \t      \n         \n\t    \n\t\t   Print\n\t\t\t\t          \n\n  \n\n\n\t \n\t \n\t \n\t \n\t \n\t \n\t \n\t \n\t \n\t \n\t \n\t \n\t \n\t\n\n\n \n\n\n\t \n\nCOMA\/79\/2010\t 5\/ 5\tORDER \n \n \n\n\t\n\n \n\nIN\nTHE HIGH COURT OF GUJARAT AT AHMEDABAD\n \n\n \n\n\n \n\nCOMPANY\nAPPLICATION No. 79 of 2010\n \n\nIn\n\n\n \n\nCOMPANY\nPETITION No. 9 of 2006\n \n\nIn\nCOMPANY APPLICATION No. 358 of 2005\n \n\n \n \n=========================================================\n\n \n\nIDBI\nBANK LIMITED (EARSTWHILE INDUSTRIAL DEVELOPMENT BANK - Applicant(s)\n \n\nVersus\n \n\nNIRMA\nLIMITED & 2 - Respondent(s)\n \n\n=========================================================\n \nAppearance\n: \nMR\nBHARAT JANI for\nApplicant(s) : 1, \nMR SN SOPARKAR SENIOR ADVOCATE WITH MS SWATI\nSOPARKAR for Respondent(s) : 1, \nOFFICIAL LIQUIDATOR for\nRespondent(s) : 2, \nMS AMEE YAJNIK for Respondent(s) : 2, \nMR GN\nSHAH for Respondent(s) :\n3, \n=========================================================\n\n\n \n\t  \n\t \n\t  \n\t\t \n\t\t\t \n\nCORAM\n\t\t\t: \n\t\t\t\n\t\t\n\t\t \n\t\t\t \n\nHONOURABLE\n\t\t\tMR.JUSTICE AKIL KURESHI\n\t\t\n\t\n\n \n\n \n \n\n\n \n\nDate\n: 13\/12\/2010 \n\n \n\n \n \nORAL\nORDER<\/pre>\n
This
\n\tapplication has been filed by IDBI Bank Ltd. claiming following
\n\treliefs :\n<\/p>\n
(A)
\n\tYour Lordships may be pleased to direct respondent no.1 to permit
\n\tthe applicant and the prospective buyer which may be brought by the
\n\tapplicant to have the access to the Power Plant situated at Sachana,
\n\tTaluka Viramgam, District Ahmedabad and to have the inspection
\n\tthereof;\n<\/p>\n
(B)\tYour
\n\tLordships may be pleased to direct the Official Liquidator of Core
\n\tHealthcare Limited (Company in liquidation)- respondent No.2 to
\n\thandover the possession of the said Power Plant which is not the
\n\tsecured asset or the property of Core Healthcare Limited(Company in
\n\tliquidation), if the possession thereof has been taken under the
\n\twinding up order passed by the Hon’ble High Court on 24.6.2009
\n\t(Coram : Jayant Patel,J.) in Company Petition No. 189 of 2008;\n<\/p>\n
(C)
\n\t\tYour Lordships may be pleased to direct respondent No.1 to handover
\n\tthe possession of the leased assets i.e. the Power Plant situated at
\n\tSachana, Taluka Viramgam, District Ahmedabad, to  the  applicant
\n\tbank-lessor forthwith without any delay;\n<\/p>\n
(D)
\n\t\tYour Lordships may be pleased to order to pay damages against
\n\trespondent No.1 Company for causing unnecessary hindrance and
\n\tconsequential  delay in handing over the possession of the leased
\n\tassets i.e. the Power Plant situated at Sachana, Taluka Viramgam,
\n\tDistrict Ahmedabad resulted into tremendous financial loss to the
\n\tapplicant who is legitimately entitled to get back the possession of
\n\tthe said leased assets.\n<\/p>\n
(E)\tYour
\n\tLordships may be pleased to permit the applicant to sell the leased
\n\tassets i.e. the Power Plant situated at Sachana, Taluka Viramgam,
\n\tDistrict Ahmedabad, to recover its legitimate dues due and payable
\n\tby M\/s. Core Healthcare Limited (Company in liquidation) under the
\n\tLease Agreement dated 26.9.1996.\n<\/p>\n
(F)\tAny
\n\tother and further relief\/s that this Hon’ble Court may deem just and
\n\tproper, may please be granted in the interest of justice.”\n<\/p>\n
Shortly
\n\tstated few undisputed facts are as follows :\n<\/p>\n
2.1\tOne
\n\tCore Health Care ltd.(“CHC” for short) was de-merged and
\n\ta part of the unit in merger scheme merged with Nirma Ltd. Such
\n\tmerger was approved by the learned Single Judge of this Court by
\n\tjudgement dated 1.3.2007 in Company Petition No.9 and 10 of 2006.
\n\tThough such judgement has been carried in appeal, same has not been
\n\tstayed. Subsequently, CHC also is being wound up pursuant to order
\n\tpassed in Company Petition No. 189\/2008 under order dated 24.6.2009.\n<\/p>\n
The
\n\tpetitioner IDBI Bank ltd. contended that one Power Plant situated at
\n\tSachana, Taluka Viramgam which was in possession of the CHC was of
\n\tthe ownership of IDBI Bank Ltd. since IDBI Bank Ltd. had entered
\n\tinto lease and buy-back agreement with CHC. It is also the case of
\n\tthe petitioner IDBI Bank Ltd. that such power plant was not part of
\n\tthe merger scheme, was specifically kept out of the scheme and that
\n\ttherefore, petitioner should be handed over the possession of such
\n\tproperty.\n<\/p>\n
The
\n\tclaim of the petitioner IDBI Bank Ltd. is hotly disputed by
\n\trespondent no.3 Alstom Projects Ltd. Claim of Alstom Projects Ltd.
\n\tis that it has secured dues of crores of rupees over the said
\n\tproperty and CHC could not have entered into any understanding or
\n\tagreement with IDBI Bank Ltd. with respect to such a property
\n\twithout consent of Alstom Projects Ltd.\n<\/p>\n
Before
\n\tthe Learned Single Judge IDBI Bank Ltd. had in merger scheme
\n\tproceedings also made similar prayer for being handed over the
\n\tpossession of the Power Plant by filing Company Application
\n\tNo.602\/2006. In this regard, Learned Single Judge made following
\n\tobservations :\n<\/p>\n
“79.\t\tIDBI
\nBank has filed Company Application No.602 of 2006 for return of the
\npower plant, which was purchased by Core from M\/s.Alstom Projects
\n(India) Ltd. and sold to IDBI Bank. Their submission is that the said
\nplant is not a part of the Scheme and though ARCIL has permitted them
\nto take away their plant, Nirma is not permitting them to take away
\ntheir plant.\n<\/p>\n
80.\t\tThe
\npetitioners have submitted that this issue does not arise out of the
\nScheme proceedings. They do nowhere say that the power plant belongs
\nto Core or is a part of the Scheme or has been transferred to Nirma.
\nIf the power plant does not belong to Core or is not being
\ntransferred in favour of Nirma, then, Nirma would not be entitled to
\nretain its possession. True it is, that the Apex Court, in the matter
\nof Nocil vs. Mafatlal Industries Limited [AIR
\n2004 SC 3933], has observed that such would be an issue
\nbeyond the scope of consideration in a matter relating to sanction of
\nthe Scheme, but, in the opinion of this Court, it must be observed in
\nfavour of IDBI that if Core or Nirma does not permit them to have the
\npossession of their power plant, then, they would be entitled to take
\nappropriate legal proceedings against Core and\/or Nirma. At this
\nstage, I must advise Core and Nirma that if the property does not
\nbelong to them, then, they should not create unnecessary
\ncomplications in the matter and should always act as honest business
\npeople, who do not grab property of others.\n<\/p>\n
Alstom
\n\tProjects Ltd. had also filed Company Application No. 618\/2006
\n\tseeking possession of the same Power Plant. Such application was
\n\tturned down by Learned Single Judge by same order in the following
\n\tmanner :\n<\/p>\n
“78.\t\tM\/s.\n<\/p>\n
\tAlstom Projects (India) Ltd. has filed Company Application No.618 of
\n\t2006 submitting, inter alia, that it has supplied a power
\n\tplant and is an unpaid seller and therefore, is entitled to return
\n\tof the power plant. In the opinion of this Court, an unpaid seller
\n\twould be an unsecured creditor. Such an unpaid seller or unsecured
\n\tcreditor, in the preset set of circumstances, would not be entitled
\n\tto recover any money and even in case of winding up of the company
\n\tif would not come in the first queue to receive the money, then,
\n\tthey cannot be allowed to say that they are entitled to return of
\n\tthe plant.”\n<\/p>\n
Alstom
\n\tProjects Ltd. had preferred appeal against said decision of Learned
\n\tSingle Judge. Same is pending before the Division Bench. IDBI Bank
\n\tLtd. has not carried said order further in appeal.\n<\/p>\n
Stand
\n\tof Nirma Ltd. is that though it does not claim any ownership right
\n\tover the Power Plant and is prepared to handover the same to any
\n\tentity, it must be protected against any further claims in this
\n\tregard.\n<\/p>\n
Counsel
\n\tfor the petitioner IDBI Bank ltd. submitted that  Learned Single
\n\tJudge in order dated  1.3.2007  had clearly held in favour of IDBI
\n\tBank Ltd. and that OL should be directed to hand over the possession
\n\tof the said power plant. Counsel for Alstom Projects Ltd. however,
\n\tsubmitted that there is no such direction of the Learned Single
\n\tJudge. In any case, dues of IDBI Bank Ltd. and the validity of
\n\tagreement under which it claims right, title and interest over the
\n\tPower Plant are seriously under dispute. Without adjudication of
\n\trival claims, prayers made in this application cannot be granted.\n<\/p>\n
Without
\n\texpressing any opinion on rival contentions, I am simply of the
\n\topinion that this Company Application is not maintainable. IDBI Bank
\n\tLtd’s previous application was not entertained by the Learned Single
\n\tJudge while considering merger scheme of unit of CHC and Nirma.
\n\tThere are no proceedings in which said Power Plant can be stated to
\n\thave been dealt by this Court in any company petition or winding up
\n\tpetition. Rival claims of IDBI Bank Ltd. and Alstom Projects Ltd.
\n\tcannot  be judged in the present application. Parties shall have to
\n\tresort to remedies under law. I do not see any direction of the
\n\tLearned Single Judge in decision dated 1.3.2007 holding that IDBI
\n\tBank Ltd. enjoys any possessory or ownership right over the Power
\n\tPlant in question.\n<\/p>\n
\tIn
\n\tresult this application is dismissed.\n<\/p>\n
(Akil
\nKureshi,J.)<\/p>\n
(raghu)<\/p>\n
\t\t   \u00a0\u00a0\u00a0<\/p>\n
\t\t   Top<\/p>\n","protected":false},"excerpt":{"rendered":"
Gujarat High Court Idbi vs Nirma on 13 December, 2010 Author: Akil Kureshi,&Nbsp; Gujarat High Court Case Information System Print COMA\/79\/2010 5\/ 5 ORDER IN THE HIGH COURT OF GUJARAT AT AHMEDABAD COMPANY APPLICATION No. 79 of 2010 In COMPANY PETITION No. 9 of 2006 In COMPANY APPLICATION No. 358 of 2005 ========================================================= IDBI BANK […]<\/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":[16,8],"tags":[],"class_list":["post-71177","post","type-post","status-publish","format-standard","hentry","category-gujarat-high-court","category-high-court"],"yoast_head":"\nIdbi vs Nirma on 13 December, 2010 - Free Judgements of Supreme Court & 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\/idbi-vs-nirma-on-13-december-2010\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Idbi vs Nirma on 13 December, 2010 - 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