Anoop Sharma vs Acumen Overseas Private Limited
- CitationCompany Appeal (AT) No. 1 of 2025
Ratio decidendi
The rule this decision rests on
Where a director's removal is the subject of pending company petitions and the legality of that removal has been expressly left open to the outcome of those petitions, the removal, as a matter of present record, operates to deprive the director of the right to exercise the powers of a director, and he must refrain from representing himself as a director until the petitions are finally decided. The Tribunal may not treat an observation in an interlocutory order that the cause of action does not survive, or that an admitted position exists, as a binding determination of the question that is still sub-judice before the adjudicating forum; such questions are to be decided by the forum seized of the company petitions without being influenced by that observation.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
1 For Respondent: Mr. Krishnendu Datta, Sr. Advocate, Mr. Prashant, Mr. Manav Gill, Mr. Shivang Gupta, Advocates
ORDER
(HYBRID MODE)
20.01.2025: These five appeals are against an impugned order dated
06.09.2024 passed on separate/similar applications moved by Respondent
No. 2 herein, in five Company petitions filed by Appellant. The impugned
order is as under:-
"13. Further, the Ld. Counsel
for the Respondent has fairly
submitted that the Respondent has not
taken any decision or action which
would cause any prejudice to the
interest of the company. The
admitted position is that the
Respondent has been removed from
the Director and his name has been
shown as removed as the Director in
the records of the RoC.
14. We are therefore of the view that
the cause of action in the present
application does not survive any longer
and therefore no relief as prayed for by
the Applicant in this application be
granted at this stage. It is reiterated
2 however, that any decision in the
meeting held on 11.02.2022 or any
resolution passed shall be the outcome
of the present petition including the
consequential entry in the records of the
RoC."
2. It is argued the Appellant has never admitted he has been removed as a
Director of the Company as an earlier order dated 11.2.2024 very well notes
any action taken in the meeting and/or any resolution passed will be subject to
the outcome of the company petition.
3. Admittedly, in the order dated 11.2.2022 and similar order(s) passed in
all other company petitions, the issue of legality of removal of the Appellant
from the Board of Directors is left open and is subject to the outcome of those
company petition (s).
4. Thus, as we understand the position is though the respondents claim
the appellant has been removed in the AGM dated 03.03.2022 and is no longer
a Director of the Company, hence cannot claim or represent himself as a
Director of the Company, as he usually claims in various communications;
but the Appellant still claims to be a Director of the Company as he says the
legality of his removal is still under challenge and is made subject to the
outcome of company petitions.
5. Thus, we find, as of now, the Appellant has been removed as a Director
of the Company in its AGM dated 03.03.2022. Hence, though this position
is to be tested by the Ld. NCLT but till such time the Appellant cannot exercise
3 any right as a director of the company, hence must refrain from representing
himself as a director till company petitions are heard and finally decided.
6. The Appellant is also aggrieved of the fact that para 13 of the impugned
order dated 06.09.2024 notes of an alleged admitted position qua his removal.
Now this question is still sub-judice, hence we dispose of all these appeals by
requesting the ld. NCLT to dispose of the Company Petitions as expeditiously
and as possible and without being influenced by any such observation as is
made in para 13 of the impugned order.
6. Appeals stand dispose of. Pending application, including that of
condonation, also are disposed of.
[Justice Yogesh Khanna] Member (Judicial)
[Mr. Ajai Das Mehrotra] Member (Technical)
ss/manu
4
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