Vinod Kumar Kapoor vs Vijay Khanna & Ors

Vinod Kumar Kapoor ... Appellant

Versus

Vijay Khanna & Ors. ... Respondents

Present: For Appellant: Mr. R.S. Bhatia, PCS.

For Respondents: Mr. V. Hari Pillai, Advocate.

ORDER

21.09.2017 - This appeal has been filed by Appellant / Contemnor -

Mr. Vinod Kumar Kapoor against the order dated 13th April, 2017

passed by National Company Law Tribunal (hereinafter referred to as

"Tribunal") New Delhi in Contempt Petition No. 3(ND)20 17 arising out

of Company Petition No. 69/2003, wherein for non-compliance of the

order passed by the Tribunal the following punishment has imposed

on the appellant: -

"9. I therefore deem it just, fit and expedient in the

facts of this case to direct the following:

a. Impose a costs of Rs. 5 lacs on the

Contemnor no.2, the Managing Director of the

Respondent Company, who was solely liable to

take the required steps in furtherance of the

order dated 10. 06.2013 and further -2-

Undertaking given by him on 14.08.2014.

Failure to pay this amount from his personal

account shall necessitate attachment and sale

of the Company's property to be duly

appropriated from his shareholding and/or

attachment and sale of his personal assets.

Costs is to be paid to the equitably to the

petitioners.

b. Direct simple imprisonment of Shri. Vinod

Kumar Kapoor, Contemnor no.2 for a period of

one month for the wilful breach of the

undertaking dated 14.08.2014 given to the

Court.

10. The warrants of arrest be issued by the

Registrar NCLT to be executed by the lad. CMM,

Central District through the District Judge-I, Tis Hazari,

Delhi."

2. Notice was issued on respondents and they have appeared. The

appellant in his affidavit while asked for unconditional and unqualified

apology, has taken plea that the order passed by the Tribunal in

Company Petition No. 69 of 2003 have been complied in its letter and

spirit. It is also informed that as per the impugned order cost of Rs.

5,00,000/- (Rupees Five Lakhs only) as imposed on the Managing

Director of the Company has also been paid.

-3-

3. Learned Counsel appearing on behalf of the respondents accepts

that the order passed by Tribunal in Company Petition has been

complied by the appellant and the cost as imposed by Tribunal has been

paid. It is informed that the TDS certificate will be handed over to the

appellant by 15th October, 2017.

4. Mr. Vinod Kumar Kapoor, who is the Managing Director

(Contemnor No.2) is present in person. He personally tendered

'unconditional and unqualified apology' and submits that he had no

intention to violate the orders and directions passed by the Tribunal.

5. In view of the stand taken by the parties and taking into

consideration the fact that the appellant (Contemnor No. 2) has complied

with the original order passed by the Tribunal and has also paid the cost

of Rs. 5,00,000/- (Rupees Five Lakhs only) as imposed by impugned

order and that he is personally appeared and sought for unconditional

and unqualified apology after compliance of the Tribunal's order, we set

aside the part of the impugned order as passed in the last portion of

clause (a) and total order as contained in clause (b) of paragraph no. 9

as also the order as contained in paragraph no.10 of the impugned

order, which reads as follows: -

"9 (a) Failure to pay this amount from

his personal account shall necessitate

attachment and sale of the Company's

property to be duly appropriated from his

shareholding and/or attachment and sale of 4 -4-

his personal assets. Costs is to be paid to the

equitably to the petitioners.

b. Direct simple imprisonment of Shri. Vinod

Kumar Kapoor, Contemnor no.2 for a period of

one month for the wilful breach of the

undertaking dated 14.08.2014 given to the

Court.

10. The warrants of arrest be issued by the

Registrar NCLT to be executed by the lad. CMM,

Central District through the District Judge-I, Tis Hazari,

Delhi."

6. The impugned order passed by the Tribunal stands modified to

the extent above. The appeal stands disposed of with aforesaid

observations. No cost.

(Justice S.J. Mukhopadhaya) Chairperson

(Justice A.I.S. Cheema) (Balvinder Singh) Member (Judicial) Member(Technical)

ar