- (1.) PLAINTIFF-CORPORATION through one of its Principal Officers has filed the present suit for recovery of Rs. 8,56,775. 80 Ps with future interest at the rate of 20 per cent per annum from Messers Sehgal Papers Limited (now in liquidation and hereinafter referred to as 'the company') on account' of fee for consultancy services rendered to the company.
(2.) THE undisputed facts are that the company engaged the services of the plaintiff as consultants and engineers on a remuneration/fee of Rs. 1800,000/- for setting up a paper mill complex at Dharuhera in the state of Haryana for the manufacture of quality products of high standard such as writing and printing papers, carbonless copying paper etc. An agreement was duly executed between the plaintiff and the company in this regard on March 30, 1977. Apart from the professional fee/remuneration, the plaintiff was entitled to be reimbursed in regard to the out of pocket expenses incurred by its officers and engineers in connection with the assignment. The consultancy services under the contract were to be rendered for a period of four years with effect from June, 1975. As the company could not complete its project within the said period, the plaintiff was requested to continue its association with assistance for the project for another year ending June, 1980 on the same terms and conditions but for an additional fee of Rs 3,00,000/ -. A separate supplemental agreement was executed between the parties on May 2, 1980. Plaintiff admits that for the consultancy services rendered to the Company a sum of Rs. 15,55,000/- was received by it from the Company as remuneration payable to it under the contract. It is claimed that a sum of Rs 2,4 5,000/- was still outstanding from the Company in regard to the services rendered under the original contract and that nothing was paid to it for the services rendered for one year under the supplemental agreement. Thus, a total amount of Rs 5,45,000/- is said to be due to the plaintiff as remuneration under the contracts Besides remuneration, a sum of Rs. 39,831/- is also stated to be outstanding against the company as reimbursement of the out of pocket expenses incurred by the officers of the plaintiff and payable by the Company in terms of the agreements. A sum of Rs. 1,52,053/- is also claimed as interest to the outstanding amounts upto March 31,1982 and another sum of Rs. 1,19,690. 45 Ps. as interest for the period ending March 31, 1983. It is alleged that despite several requested and demands made on the Company the latter failed to pay the amounts due from it and hence, the present suit.
(3.) THE suit was instituted in the High Court at Delhi on April 23, 1983. The Company was ordered to be wound up by this Court on April 8, 1983 and on an application for permission under Section 446 of the Companies Act, 1956 (hereinafter referred to as 'the Act") to continue with the suit in Delhi High Court, the learned Company Judge granted permission to the plaintiff to prosecute the suit but the file of the case was ordered to be transferred to this court for disposal On receipt of the records from the Delhi High Court the suit was registered as Company Petition No. 20 of 1990.;