CENTRAL BANK OF INDIA Vs. SARAF TEXTILE INDUSTRIES LTD

JUDGEMENT

(1.) THIS order relates to two petitions filed under Section 141 of the Companies Act, 1956 (hereinafter called "the Act"), by Central Bank of India having its branch office at Sansar Chandra Road, Jaipur. Since both the petitions relate to the same company, viz., Saraf Textiles Industries Ltd. (hereinafter called "the company"), and since the issues involved and reliefs sought are the same, both the petitions are being disposed of by this single order. Both these petitions were filed on July 15, 1997.

(2.) The brief facts leading to this petition are as follows :

(3.) ON the facts, the company has stated that there was an enhancement and sanction of the credit limit in 1994, and as agreed between the parties the particulars of the modification of charge in Forms Nos. 8 and 13 with regard to hypothecation of goods and security of book debts were already filed with the Registrar of Companies. In the circumstances the petitioner's allegation that the particulars of modification were not filed with the Registrar of Companies is not correct. Consequently, there is no inadvertence or mistake on the part of the company in filing the relevant forms. The bank has already ceded the second charge on current assets in favour of the Rajasthan Industrial Development and Investment Corporation Ltd. (RIICO) and expressed no objection for creation of a first charge in favour of RIICO and Rajasthan Financial Corporation (RFC) over immovable property and other assets. However, there is no mention of the second charge on the block of assets in any document.