Inder Chand Pincha vs Borgang Tea Co. (P) Ltd. & Ors
- CitationCompany Appeal (AT) No. 154 of 2018
Ratio decidendi
The rule this decision rests on
The Tribunal's power under Section 420(2) of the Companies Act, 2013 to amend an order is confined to rectifying a mistake apparent from the record, and it does not extend to reviewing the order; an amendment cannot be made in respect of an order against which an appeal has been preferred under the Act. Observations and opinions formed by the Tribunal on the appreciation of evidence and after hearing the parties do not constitute an error apparent on the face of the record, and so do not attract rectification under Section 420(2). Under Section 421(2), this Appellate Tribunal may condone delay in filing an appeal only up to a further period of forty-five days; an appeal filed after that period, without a prayer for condonation and proper court fee, is barred by limitation and cannot be entertained.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
Inder Chand Pincha ...Appellant
Vs.
Borgang Tea Co. (P) Ltd. & Ors. ...Respondents
Company Appeal (AT) No. 155 of 2018
IN THE MATTER OF:
Inder Chand Pincha ...Appellant
Vs.
Kettela Tea Co. (P) Ltd. & Ors. ...Respondents
Present: For Appellant: - Mr. Akhilesh Kr. Shrivastava, Advocate and Ms. Suhita Mukhopadhyay, PCS.
ORDER
11.05.2018- This appeal has been preferred by the Appellant against
order dated 6th March, 2018, whereby and whereunder the National
Company Law Tribunal (hereinafter referred to as "Tribunal"), Guwahati
Bench, Guwahati, while making necessary rectification of some of the
typographical and clerical errors refused to amend or review the order
dated 31st May, 2017.
2. The Appellant preferred the Company Petition No. 160/2013
before the erstwhile Company Law Board, which on constitution of the
Tribunal, transferred to the Tribunal and registered as TP No. -2-
11/397/398/GB/2016. The grievance related to 'oppression and
mismanagement' so the petition was filed under Sections 397/398 of
the Companies Act, 1956.
3. The Appellant who was the Petitioner before the Tribunal, being
not happy with the decision of the Tribunal, after a long delay filed a
miscellaneous application under Section 420(2) of the Companies Act,
2013 for rectification of errors apparent on the face of the record. The
'typographical errors' and 'clerical errors' were corrected by the
Tribunal, but prayer for amendment of the judgment and thereby review
of the judgment was rejected.
4. Learned counsel appearing on behalf of the Appellant submits
that the factual errors have not been taken into consideration and nor
considered. The judgment of this Appellate Tribunal were also not taken
into consideration.
5. According to counsel for the Appellant, the observations made in
paragraphs 65-71 of the judgment dated 31st May, 2017 led to the
decision which was recorded in paragraph 72 of the judgment. Such
decision in paragraph 72 and observation in paragraphs 65-71 were not
founded on the basis of averments made in paragraphs 49-55 of the
petition. Similar plea of error was taken by the Appellant which were not
accepted by the Tribunal.
-3-
6. Similar argument has been made by the learned counsel for the
Appellant. Though the Appellant has challenged the order dated 31st
May, 2017 apart from another order, proper court fee has not been filed,
nor an application for condonation of delay has been filed. The appeal
against the order dated 31st May, 2017 has been filed after 11 months.
Under sub-section (2) of Section 421, this Appellate Tribunal has
jurisdiction to condone the delay but not beyond a period of forty-five
days. In view of the aforesaid provision, the prayer as made against the
original order dated 31st May, 2017 cannot be granted, being barred by
limitation. Such prayer is rejected.
7. Section 420 of the Companies Act, 2013 deals with 'order of the
Tribunal'. As per Section 420(2) of the Companies Act, 2013, the
Tribunal may, at any time within two years from the date of the order,
with a view to rectify any mistake apparent from the record, amend any
order passed by it, which reads as follows:
"420(2). The Tribunal may, at any time within
two years from the date of the order, with a
view to rectifying any mistake apparent from
the record, amend any order passed by it, and
shall make such amendment, if the mistake is
brought to its notice by the parties: -4-
Provided that no such amendment shall
be made in respect of any order against which
an appeal has been preferred under this Act."
8. From the aforesaid provision, we find that on the basis of mistake
apparent on the face of the record is always open to the Tribunal to
amend the original order passed by it, which will not amount to review
of the order and the mistake should be such apparent on the face of the
record. The opinion formed and observations made by the Tribunal
cannot be treated as an error apparent on the face of record. Such
observations having made by the Tribunal on appreciation of evidence
and after hearing the parties, being not an error on the face of record,
the question of rectification of observation does not arise.
9. We find no merit in these appeals. They are accordingly dismissed.
No cost.
(Justice S.J. Mukhopadhaya) Chairperson
(Justice Bansi Lal Bhat) Member(Judicial) Ar/uk
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