Vijay Singh v. Union of India

1. This-writ petitionhas twopetitioners,who are directors inacompany-namedPriyaLogisticsPriyateLimited(hereinafterreferredto as "Company"), registeredunder the provisions ofIndian Companies Act, 1956.,

2. Apart fromthisCompany,thepetitionersare statedtobe-Directorsof three other companies.

3. The writ petition makes a reference to certain disputes with.an Page1of[4] 2018:DHC:8548-DB erstwhileDirectorMr.SureilderSingh,whoresignedfromtheComplyand, inthe year2014,thepetitionerno.Ijoinedin hisplace.Itisalso stated that theCompanyhadrunintodifficulty.FinancialliabilitiesoftheCompanyare stated to have been dischargedin the year2015 bythe petitioner no.2from his personalfunds.

4. The writ petition has been instituted in view ofthe notice dated d"' September,2017and 12"September,2017issued under Section 164(2)(a) ^ oftheCompaniesAct,201Tbyjtfere^oldenfeii^ualifyingthepetitioners as Directors in the compahy for..the.jjpason that.ftere was default in submitting retupis with reg^rljfe'tfea|iii|,:bfithe said^Company which werestatutorily:|e4uiredto'^b|||d^|igpistraro^ continuousperiod ofthreefihaneialiyears. "

5. Thewritpetitionintera/i|%ksquas|!4ofthesaidnoticesdated6" September,2017and 12"'Septei|Jr,ic|f' |

6. Noticewasissuedinth|i|^i^|^orderdated7«November, 2017whenwealsograntedii|hi|^||^ticesdated6'"September! 2017and12'»September,201%^^^&emedthewritpetitioners. J 7. We aretodayinformed by Ms.ManinderAchaiya,learned ASG that pursuanttothestayorderiti|^d|^|,i&&g^DirectorIdentification Numbers('DIN') of the petitionere were activated by the respondents. Thereafter,theannualreturnsandfinancialstatementsoftheCompanyupto thefinancialyear2015-16havebeenfiledbythepetitioners intheofficeof respondentno.2between 11"November,2017to 1d'"November,2017.

8. We are further informed that after filing ofthese documents, the petitioner no.2Sh.Sandeep Kaliraman resigned from the Company w.e.f. 16 November,2017and theform DIR.-12.(erstwhileForm no.32)stands W.P.(C)9849/2017 Page 2.of[4] filed withthe RegistrarofCompaniessofarasthis petitionerisconcerned.

9. A submission has been made before us by Mr.Manish Jain,learned counsel for the petitioner that, in view ofthe above,so far as the defaults attributedtothe Directors is concerned,all deficiencies have been addressed bythem and,thereliefsoughtinthe writpetition deservestobegranted.

10. It is fiirther submitted by Mr.Manish Jain, learned counsel for the petitioners' that the Company had throughout continued to run its business ^ and, for this reason as well, this writ petition,o^ to be favourably considered. r

11. Contesting,tips claim,ft Ms.M^der Acharya, learned ASG th^ in view of facts,itfis an admitted position that..^e Petitioners that the-action of the respondents in declaringthem under Section 164(2)ofthe CompaniesAct,2013cannotbefa&ll.SI'I

12. Our attention has been the Condonation ofDelay Scheme,2018(hereinafter- Scheme,2018")floated by the respondents, enablin|jsi^5^y|ij,o seek removal of the S disqualification.Itissubmittedthatincasethepetitioners wishtoavailthe benefitofrestorationofthlil^t^^,t|epg||dbere^^^^ to the requirements of this Scheme. '

13. Ms.Maninder Acharya,learned ASG further submits on instractions ofMr.Sanjay Shorey,Joint Director(Legal)and Mr.Rakesh Tiwari,ROC (Delhi&Haryana),thatifthepetitioner wishedto availofthe benefitofthe CODS 2018,they may deposit the requisite fee.payable under the scheme with the respondent without the necessity ofrefilling the document which stands filed as noted above. Page3of[4]

14. It is submitted that upon such compliances, the respondents will considerthe matter in accordance with law forremoval ofthe names ofthe petitioners from the list ofdisqualified directors. This suggestion on behalf ofrespondentsiscertainlyfairand deservesto beaccepted.'

15. In view ofthe above,we directasfollows:

(i) Subject to the petitioner submitting the requisite fees with the respondents within a period oftwo weeks as prayed, the respondents ^ shallforthwithtakestepsforrenidya|fofthepetitioners'namesfromthe disqualified directors.Tn case the-petitioners have not submitted the prescribedfomimhderthe;,pqi|^ the may-be also submitted\yith thesamep^iod. -