Dr. Shobha Fakkirappa Sunagar vs Balaji Neurocare Health Services ...
- CitationCompany Appeal (AT) (CH) No.70/2024
Ratio decidendi
The rule this decision rests on
A litigant shall not be made to suffer for the mistake or unavoidable absence of its counsel on record, and a Company Petition cannot be dismissed as withdrawn, with liberty to file a fresh petition, at a hearing where the appellant was left unrepresented because its counsel on record was absent for a genuine reason and no opportunity was afforded to a connected representing advocate to file vakalat.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
Comp. App. (AT) (CH) No. 70/2024 Page 1 of 4 Present : For Appellant : Mr. S. Vivekananda, Advocate For Respondent : Mr. Chandramouli Prabhakar, Advocate Ms. R. Vandhana Prabhu, & Mr. Aakash Athimoolm, Advocate for R1-R2 ORDER
(Hybrid Mode) 04.11.2024:
A very pathetic situation, arising out of the conduct of the counsels,
came into light during the course of arguments of the instant Appeal, where
the challenge has been given to the Impugned Judgment of 08.08.2024, as it
has been rendered by the NCLT Bangalore Bench, in Company Petition
No.53/BB/2021 in the matters of Dr. Shobha Fakkirappa Sungar Vs Balaji
Neurocare Health Services Pvt Ltd & Anr. The consequential effect of the
said impugned order has been that at the stage, of considering the various
pending Interlocutory Applications, the Learned Tribunal has proceeded to
dismiss the Company Petition itself as withdrawn, with a liberty reserved
for the appellant to file a fresh petition, admittedly, at the stage when the
counsel on record for the appellant could not attend the proceedings due to
his mother's ailment and consequential hospitalization, and the representing
counsel in brief of the counsel on record, had made a request that she would
be filing her vakalat to appear on behalf of the petitioner, and had prayed for
time to file her vakalat on behalf of the appellant.
Comp. App. (AT) (CH) No. 70/2024 Page 2 of 4
It is not in dispute that, when the company petition was taken up on
08.08.2024, the mother of the counsel on record was ailing and she was
hospitalized and he was attending to her and hence he could not attend the
proceedings thus for the aforesaid reason of to argue the petition. Given this,
the counsel for respondent should not have pressed upon to appear and argue
the Petition as a matter of ethics, and that too, merely on the grounds that the
Company petition has been pending for quite a long time. Apart from it, the
Learned NCLT should have taken care to note, that in the absence of the
counsel who is on record, and in the event of denial of opportunity to the
representing connected to file vakalat for the Appellant, the
Petitioner/Appellant herein remained unrepresented on 08.08.2024 when
Company Petition, was permitted to be dismissed as withdrawn, with a
liberty to file a fresh petition. The aforesaid fact is not disputed by the
respondent's counsel, who represents Respondent No.1 and Respondent
No.2.
A litigant is not to be made to suffer on account of, a counsel's
mistake. In the instant case, there in, or none and even then, proceeding to
dismiss the Company Petition as withdrawn, in the absence of counsel on
record is something that is not heard of. In order to, avoid any
misunderstanding amongst the fraternity of advocates, the Impugned
Judgment is quashed and the matter is remitted back to the learned National
Comp. App. (AT) (CH) No. 70/2024 Page 3 of 4 Company Law Tribunal, Bangalore Bench, with the request that, the counsel
appearing for the appellant, who takes notice of the pendency of the
Company Petition, would provide all cooperation to the learned NCLT to
decide the aforesaid Company Petition No. 53/BB/2021, and all pending
interlocutory applications on merits, as expeditiously as possible, but not
later than 1 month from the date of production of the certified copy of this
Judgment, subject to the aforesaid the Appeal would stand allowed.
[Justice Sharad Kumar Sharma] Member (Judicial)
[Jatindranath Swain] Member (Technical)
GL/TM/MS
Comp. App. (AT) (CH) No. 70/2024 Page 4 of 4
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