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TMI Blog1977 (11) TMI 118X X X X Extracts X X X X X X X X Extracts X X X X ..... itioner did not receive any dividend nor did he derive any other benefits in the company as a director, whereas it is said that the other two directors, one of whom has been designated as the managing director, have been unauthorisedly using the company's fund for their personal benefit. ( b )The petitioner had been kept in darkness relating to the affairs of the company by the other two directors. ( c )The other directors have withdrawn large sums of money in collusion with the financier, Sri Senniappa Gounder, Erode. ( d )Though a notice of a general meeting was called for on January 27, 1966, to discuss the domestic matters relating to the administration of the company, the meeting was not held at the appointed day and hour and the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... udden and did not sign the minutes book. He would say that the accounts had been properly maintained and there is no justifiable ground either under section 433( b ) or ( f ) of the Companies Act for winding up a running concern. This petition is also opposed by a creditor of the respondent-company. He would allege that he was not quite aware of the truth or otherwise of the allegations made. But he would deny the allegations that the two buses belonging to the company have been handed over to him and that he is running the same in his own right. He would categorically allege that he was not and never was in possession of the buses belonging to the company and did not receive any daily collections as alleged. He would oppose the applicat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ective with which the finances were advanced. But, on the other hand, the buses are now off the road and according to the official receiver substantial amounts are now required for the purpose of putting the vehicles on the road. It is in the above 'perspective that this application is set for hearing. No oral evidence has been let in. It is not in dispute that the company is a private company. Section 165 of the Companies Act, dealing with the meeting and proceedings, refers to the statutory report of a company. The statutory report is one which is prepared by the board of directors, at least twenty-one days before the day on which the actual statutory meeting is held and forwarded, which is named as the statutory report under section 165( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 397 or 398, to give relief and consequential remedy to such person. If we analyse the grievances of the petitioner, we find that they come under the caption of complaints against a company relating to mismanagement or acts of directors which give the reasonable impression that they are "oppressing the minority". Special excludes the general is an elementary principle of law. When the company law in its wisdom has provided for a relief to an aggrieved party against perpetration of an oppression and mismanagement of the affairs of the company which is prejudicial to the interests of the company and if specific provisions are there in the Act itself which would enable a litigant to obtain a relief therefor under sections 397 and 398 of the Ac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e a ground to wind up a private company under section 433( f ) of the Act. Learned counsel for the petitioner would say that the disclosures in the affidavit would warrant the exercise of the equitable power of this court. I am unable to agree. Equity would certainly be done provided the person who seeks for it has done equity. There is no proof except a bare allegation of the petitioner in the petition wherein he brought out some complaints against the other shareholders. It would be hazardous to accept the same without further elucidation and proof, which has not been given by the petitioner in this petition. I have already seen that no case has been made out to warrant an order to wind up under section 433( b ) of the Act. Even otherwi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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