BHADRAVATHI BALAJI OIL PALMS LIMITED Vs. BALAJI OIL INDUSTRIES PRIVATE LIMITED

JUDGEMENT

(1.) THE present application is filed by the respondents namely 1, 2&3 in C.P. No. 8 of 2008. THE prayer of the applicants is that the company petition is not maintainable on the ground that the respondent/petitioner is neither shareholder nor secured creditor of the applicant-company and further prays that the applicant-company be allowed to run its business operations in the best interest of the Company without interference from the alleged unsecured creditor i.e.. respondent/petitioner.

(2.) Originally the company petition is filed by the respondent/petitioner under Section 14 and 237(b) of the Companies Act, 1956 ('the Act') read with Regulation 44 of the Company Law Board Regulations, 1991 against the first respondent Company and 7 others alleging that the applicant/first respondent company being a borrower company, created a charge in favour of the respondent/petitioner and filed a return in form No. 8 with the eighth respondent i.e., Registrar of Companies, Karnataka, on 10.Q9.2004. It was further alleged that the charge was created over the assets of the applicant/first respondent company on 07.09.2004 since the applicant/first respondent company borrowed an inter-corporate loan of Rs. 2 crores and the form No. 8 tiled by the applicant/respondent is very much available in the records of Registrar of Companies, Karanataka.

(3.) HENCE the respondent/petitioner prays to this Hon'ble Bench to restore the charge created on the assets of the applicant/first respondent company in favour of the respondent/petitioner company as security for the loan of Rs. 2 crores. Further they say that the mis-statement of facts contained in the return in form No. 17 filed by the applicant/first respondent company with the eighth respondent to the effect that the loan of Rs. 2 crores stood satisfied, be deleted and further seeks investigation in the affairs of the applicant/first respondent company by the Central Government as the action been taken by the applicant company amounts to defraud the creditors of the Company.