2017 (11) TMI 443 - SC - Companies Law

Action process - Held that - The respondent-contemnor could not have entered into correspondence with the Superintendent of Police when this Court had directed for auction of Aamby Valley. As submitted by Mr. Datar that as a consequence of the communication, the police has taken custody of the property. If it is so, we direct the Director General of Police, Maharashtra, to see to it that the property is handed over to the Official Liquidator within forty-eight hours. The Official Liquidator shall proceed with the auction under the direct supervision of the Company Judge. That apart, the Official Liquidator shall also take guidance from Justice A.S. Oka, a sitting Judge of the Bombay High Court. The Company Judge and Justice A.S. Oka shall make joint endeavour so that the auction process which is to commence from a particular stage, shall continue and be over. If any impediment is created by anyone, he shall be liable for contempt of this Court and may be sent to jail. The concerned police shall render requisite assistance in the holding of auction as and when directed by the learned Company Judge in consultation with Justice A.S. Oka.

Summary

Issues Involved:
Contempt of court due to interference with auction process by the respondent-contemnor.

Analysis:
The judgment pertains to a case where the respondent-contemnor, in violation of the court's directions for the auction of Aamby Valley, communicated with the Superintendent of Police, leading to the police taking custody of the property. The court, upon review, found this action unacceptable as it obstructed the auction process. Consequently, the court directed the Director General of Police, Maharashtra, to ensure the property's handover to the Official Liquidator within forty-eight hours. The Official Liquidator was instructed to proceed with the auction under the direct supervision of the Company Judge, seeking guidance from Justice A.S. Oka, a sitting Judge of the Bombay High Court. Both the Company Judge and Justice A.S. Oka were tasked with ensuring the smooth continuation and completion of the auction process, warning of contempt and potential imprisonment for any individual causing impediments. Additionally, the police were directed to provide necessary assistance for the auction as per directives from the Company Judge and Justice A.S. Oka.