NISHANT
In a case for oppression and mismanagement, the paramount consideration of the Tribunal is to keep in view as to what is in the interest of the company, the interest of the parties being subservient to interest of company
NISHANT MEHROTRA 20 Oct 2019

In a case for oppression and mismanagement, the paramount consideration of the Tribunal is to keep in view as to what is in the interest of the company, the interest of the parties being subservient to interest of company

NCLAT :: Companies Act, 2013 - Sections 241 and 242 - Order that can be passed in - Oppression/Mismanagement - Petition for relief against -

Where NCLT was not articulate in directing the petitioners to sell their entire shareholding held in respondent-company to the other respondents, while it was necessary to clearly identify the respondents since the company itself was also respondent, and no buy back of shares by the company seemed to be meant as that would have also required order for reduction of capital, etc., the NCLAT, taking note of the fact that there was a casual or clerical error in the order inasmuch as for word 'respondents' the order should have clarified this word as 'respondent Nos.2 to 9', modified the order appropriately.


It is settled law when a matter is before NCLT or before NCLAT, arising under sections 241 and 242 read with rule 11, irrespective of what the parties plead, say or do, the paramount consideration of the Tribunal is to keep in view as to what is in the interest of the company, the interest of the parties being subservient to interest of company.


Case:

AMRITSAR SWADESHI WOOLLEN MILLS (P.) LTD. 


Vs.


VINOD KRISHAN KHANNA AND OTHERS


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