Disposed

M/S. Volgadelite Plastic Udyog Pvt. Ltd. v. M/S. Ram India Consumer Products (P) Ltd.

Bombay HC5 Apr 2007CP/58/2007

Case brief

AI extract

What is this about?

The Bombay High Court appointed a conditional order in a company petition for winding up. Since the respondent company did not appear or file a defence after statutory notice, the Court directed it to deposit the principal claim amount within four weeks. Failure to comply would admit the petition automatically.

What did the court decide?

Respondent directed to deposit Rs.1,49,233 with Prothonotory within 4 weeks; failure renders petition admitted.

M/S. Volgadelite Plastic Udyog Pvt. Ltd. Vs M/S. Ram… — Company and Corporate | Bombay HC (2007)

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IN THE HIGH COURT OF JUDICATURE AT BOMBAY

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O.O.C.J.

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COMPANY PETITION NO. 58 OF 2007 M/s. Volgadelite Plastic Udyog Pvt. Ltd. ... Petitioner. V/s. M/s. Ram India Consumer Product Pvt. Ltd. ... Respondent. .... Mr. G.B. Kedia for the Petitioner. None for the Respondent. ....

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CORAM : DR. D.Y.CHANDRACHUD,J.

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05th April 2007.

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P.C. :

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Counsel appearing on behalf of the Petitioner

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has	produced a	copy	of	th	e ack	nowled	gment	issued	by
the	Company	in	token	of	service	of	the	Com	pany
Petition	and	underta	kes t	o	file	an	affidavit	on	or

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before 10th April 2007. The statement is accepted.

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The Company Petition arises out of a supply

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effected	by	the		Petitio	ner	to	the	Company	of
laminators		for	oil	sa	chets	between	the	period	27th
March	2006	and		17th	May	2006	under	3	invoices
amounting	to		Rs.3,5	7,437/	-.	In	addit	ion,	the

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Petitioner	has also incurred expenses in	the amount
of	Rs.31,571/- towards cylinders	used for
processing	the printing materials in	accordance
with	the order placed by the Company.	At Exhibits
A,B	and C are copies of the invoi	ces and at
Exhibits	D and E are copies of the	debit notes
issued	by the Petitioner towards the co	st of the
cylinders.	The Company utilized	the material
without	disputing the price, quality	and quantity.
In	part-payment of the liability,	the Company
issued	3 cheques in the amount of	Rs.1,50,000/-
which	were dishonoured on presentation by	the Bank.
A	statutory notice was issued by the	Petitioner to
the	Company on 25th August 2006. Upon	receipt of
the	statutory notice, the Company by	its reply
dated	16th September 2006 forwarded an	amount of
Rs.1,50,00	0/- which was duly realised.	The Company
has,	however, disputed its liability to	pay the
balance	interalia on the ground that	the goods
supplied	were not useful for packing	and the
Company	has sustained a loss on that	account. The

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Petitioner has responded to the allegation of the

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Company on 4th November 2006.

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The Company has not entered appearance despite

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service	and	has	not filed a defenc	e to	the	Company
Petition.		Prima	-facie, the defence	that	the	goods
were	defective		is only an afterthou	ght	since	no
dispute	was	raised	by the Company	about	the	goods
that	were	sold,	supplied and de	livered	until	a
statutory	notice	of	winding up was	issued.		In the

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circumstances, the following conditional order is

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passed.

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(i) The Company shall within a period of 4 weeks

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from today deposit an amount of Rs.1,49,233/-, being the principal amount due under the 3 invoices

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as per the particulars of the claim, (Exhibit N),

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with the Prothonotory and Senior Master;

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(ii) Upon intimation to the Advocate of the

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Petitioner		that	the	Company h	as effected	a deposit
in	terms	of	claus	e (i), the	Petitioner	undertakes
to	file	a	suit	for the	recoveries	of its
outstanding		dues	tog	ether with	interest.	Upon the
institution		of	the	suit, the	amount dep	osited by
the Co	mpany	in	terms	of clause	(i) shall	lie to the

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credit of the suit and abide by the final decree

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that may be passed in the suit;

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(iii) The amount upon deposit shall be

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invested	by	the	Pro	thonotory	and	Sen	ior Ma	ster in	a
fixed		deposit	of	a	Nation	alised	Bank	initially	for
a pe	riod	of	6	months	to	be	renewed	perio	dically
thereafter		subject		to such	dir	ections	as	may	be
passed		by the	ap	propriate	Court	inter	alia	on	any

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application which may be moved on behalf of the

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Petitioner;

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(iv) In the event that there is any failure on the

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part of the Company to deposit the amount as directed in clause (i) within the period stipulated, the Petition shall stand admitted;

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(v) Upon the consequence envisaged in clause (iv) arising the Petitioner to advertise the Petition in ‘Free Press Journal’, ‘Nav Shakti’ and in the Maharashtra Government Gazette. The Petitioner to deposit Rs.10,000/with the Prothonotory and

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Senior Master towards publication charges, within 4

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weeks of the admission of the Petition.

M/S. Volgadelite Plastic Udyog Pvt. Ltd. v. M/S. Ram India Consumer Products (P) Ltd.

Case brief

What is this about?

What did the court decide?

M/S. Volgadelite Plastic Udyog Pvt. Ltd. v. M/S. Ram India Consumer Products (P) Ltd.

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Parties & counsel

Coram

Case details

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