Santosh Chetal vs Alag Intco Hotels Pvt. Ltd. & Ors

IN THE MATTER OF: Mr. Santosh Chetal .....Appellant Vs. Alag Intco Hotels Pvt. Ltd. & Ors. ......Respondents Present : For Appellant: Mr. Nikhil Jain, Advocate

30.07.2019 - This appeal has been preferred by Appellant (Petitioner) against

Interim Order dated 11th June, 2019 passed by the 'National Company Law

Tribunal' Principal Bench, New Delhi (herein referred to as 'Tribunal') relevant

portion of which reads as follows: -

"7. As a sequel to the above

discussion we hold that EOGM may be

convened as per the requisition and it may

proceed according to the agenda. Any

decision taken in the EOGM shall not be

given effect as the main matter is posted for

hearing on 03.09.2019. In the meanwhile,

the decision taken in the EOGM be also

placed on record." ...contd.

2

2. The Appellant have preferred the petition u/s 241 and 242 of the

Companies Act, 2013 against 'Alag Intco Hotels Pvt. Ltd.' (Company and other

Respondents).

3. When the matter was pending, the Respondent filed a petition for Interim

Relief with a prayer to issue direction to maintain status quo in relation to

shareholding and directorship of Respondent No. 1. Another prayer was made

that during pendency of the petition convening of Extra Ordinary General Meeting

(EOGM) be stayed.

4. On hearing the parties, the Tribunal passed the impugned order as quoted

above.

5. Learned counsel appearing on behalf of the Appellant submitted that the

Impugned Order is not justified. Keeping in view the facts and circumstances of

the case, the Tribunal instead of passing an Interim Order should have

considered the main petition.

6. There has been a deadlock in the Respondent No. 1 Company affecting the

interest of the Respondent No. 1 Company and its shareholders, owing to which

Extra-Ordinary General Meeting was proposed to be conducted on a valid

requisition made by the shareholders of the Respondent No. 1 Company as per

the provisions of Companies Act, 2013.

...contd.

3

7. From the impugned order, we find that though the Contesting Respondent

filed petition for directions to maintain status quo, but no such relief can be

granted by the Tribunal. So far as Extra Ordinary General Meeting (EOGM) for

staying the General Meeting is concerned, the Tribunal taking into consideration

the decision of Hon'ble Supreme Court has not stayed the EOGM. However, it is

directed that the decision taken shall not be given effect as main matter is posted

for hearing. Apparently, the Tribunal may find out whether the decision taken

in the EOGM is in the interest of the Company or is oppressive to any of the

Member or class of members or Company or not.

8. We are not interfering, however, impugned order or the order passed by

this Appellate Tribunal shall not come in the way while deciding the petition on

merit.

9. For the reason aforesaid, we are not inclined to intervene with the Impugned

Order. The appeal is dismissed. No costs.

[Justice S. J. Mukhopadhaya] Chairperson

[Justice A. I. S. Cheema] Member (Judicial)

[Kanthi Narahari] Member (Technical)

ss/gc Company Appeal (AT) No. 198 of 2019