9911796707
TMI Blog2000 (11) TMI 1129X X X X Extracts X X X X X X X X Extracts X X X X ..... ny party is decided. But, certain preliminary questions have arisen and these must be answered. 2. These preliminary questions are. The aspect, which gave occasion to these issues is an order, which had been passed on 16-5-2000 by a Hon'ble Judge in C.W.J.C. No. 3510 of 2000 that regard being had to the circum stances that a Company Petition No. 2 of 1996(R) for winding-up of Kumardhubi Metal Casting and Engineering Ltd., P.O. Kumardhubi, District Dhanbad is pending. In the circumstances, all other matters relating to the recovery of debts of the creditor, including proceedings arising out of or challenging the orders of the Tribunal under the Recovery of Debts Due to Banks and Financial Institutions Act, 1993, be transferred to the Ben ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as come as side wind that in one High Court there may only be one Company Judge and all winding up proceedings will be before that Company Judge and that these proceedings would be at the principal seat of the High Court. 6. Only these aspects are to be considered today. These matters must see an opinion of the Court as by next week, the issue would remain frustrated and that would be inappropriate that the Court was called upon to answer these questions and it adjourned the matter to evade the answer. As these proceedings were being adjourned at the request of the Bar, the Court must not fail in its duty to give its opinion on the jurisdiction of the proceedings. 7. In answer to the first aspect whether cases at Patna may be transf ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... may in his discretion may direct for any case arising in any such district may be heard at Patna. 9. Taking these circumstances into account, that is, the Act and the Rules, the implication is clear that the jurisdiction of the Ranchi Bench has been defined and will only be to deal with cases as arise from the named districts. Yet, discretion has been left with the Chief Justice that cases, as may be pending at Ranchi Bench, given the circumstances, may be transferred to the Principal seat at Patna. But, there is a clear prohibition that cases at Patna or of areas which are within the exclusive jurisdiction of the principal seat of the High Court are not to be transferred to the Ranchi Bench. In the circumstances, the order as was pass ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rocess of the winding up of the company and see it through liquidation. The very jurisdiction to entertain an action for the winding up of a company is an original jurisdiction of the High Court and is reserved for a Company Judge nominated by the Chief Justice and the requirement of the law is that the jurisdiction is exclusive and unfettered. There cannot be different winding up proceedings within the same High Court away from the establishment of the liquidator attached to the High Court. Normally, such a circumstance ought not to be rendered that the case is good for being heard either at the High Court or the Bench but when a winding up order is passed the proceedings are arranged to be transferred to the principal seat, where by law t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to make an attachment and realise the debts as are due. The Court indicated to the counsel for this creditor that it is not necessary to go into this aspect of merits. 15. At present, as the law sufficiently provides on how to take care of the situation, should the debt be of a corporate body like a company, the Court is not going into the merits on the quantum of the debt and the matter of strict proof liability under the law. 16. Perhaps, it has not been noticed by the respondent, the Bank of India, that even under the enactment, the Recovery of Debts Due to Banks and Financial Institutions Act, 1993, section 20(19) clearly refers to the Companies Act, and enjoins that the Tribunal should have due regard to section 529A. If that ..... X X X X Extracts X X X X X X X X Extracts X X X X
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