JAY ENGINEERING WORKS LTD. Vs. INDUSTRY FACILITATION COUNCIL

JUDGEMENT

(1.) LEAVE granted.

(2.) THE appellant herein is a public limited company engaged in business of manufacturing electronic fans and fuel injection equipments. Respondent No.2 is a small scale industry. It manufactures copper wires. It supplied its products to the appellant herein during the period 28.12.1996 to 3.6.2000. As the appellant Company became sick, its Board of Directors made a reference in terms of section 15 of the Sick Industrial Companies (Special Provisions) Act, 1985 (for short "the 1985 Act") on 8.4.1994. The appellant Company was declared as a sick unit by the Board for Industrial and Financial Reconstruction (for short "the Board"). A rehabilitation scheme was framed by the Board but it was declared to have failed by an order dated 12.7.2001. By reason of the said order, however, Industrial Development Bank of India (IDBI) was appointed as a operating agency. A fresh report was submitted by the said operating agency on 20.3.2003 which was accepted by the Board whereupon a fresh rehabilitation scheme was sanctioned on 8.4.2003.

(3.) THE said award of the Council was put in execution. The bank account of the appellant was attached by the District Court, Ratlam. A writ petition was filed by the appellant herein before the Madhya Pradesh High Court questioning the same which by reason of the impugned judgment has been dismissed by a learned Single Judge. A letters patent appeal preferred thereagainst was dismissed by the impugned judgment.