BHARAT SAVLA Vs. HIRAK PLASTICS (P.) LTD.

JUDGEMENT

(1.) THE above captioned petition has been filed by the petitioner invoking the provisions contained in sections 397, 398 read with section 402 of the Companies Act, 1956 ('the Act') alleging certain acts of oppression and mismanagement in the affairs of the R1 -company allegedly committed by the respondent No. 2. The petitioner has sought the reliefs as contained in the petition. In order to appreciate the controversy involved in the case in a better way, it seems necessary to refer few relevant facts as set out in the pleadings of the parties.

(2.) R 2 appeared and filed his reply. In the reply he has submitted that being shareholder to the extent of only 1.42 percent cannot be said to be oppressing the majority shareholders and, therefore, the petition is not maintainable and is liable to be dismissed on this ground only.

(3.) IT is further submitted that the petitioner has already taken over the full control and management of the company, including the possession of the factory premises situated at Plot No. 735, GIDC, Waghodia, Baroda. This action of the petitioner made all his efforts to wind up the operation of the company by stopping the production and retrenching staff and workers and putting the factory premises under lock and key. This action of the petitioner has been taken without giving notice to bankers, various Central and State government authorities.