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TMI Blog2013 (2) TMI 169X X X X Extracts X X X X X X X X Extracts X X X X ..... nt. 2. The present application is filed seeking review on the ground that the petitioner company was entitled of benefits under Section 22 of the Sick Industries Companies Act, 1985 (for short the 'SICA'), which stipulates that no coercive action could be taken against the sick company. It is submitted that the imposition of condition of deposit of 50% of the suit amount was contrary to the provisions of Section 22 of SICA, and thus, the order of this court dated 10.09.2012, whereby the condition of deposit of 50% of the suit amount was maintained, may be recalled. 3. Having heard the learned counsel for the petitioner, I do not see any reason or merit in the instant review application. The law as to the continuation of a suit filed again ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rial company - shall lie or be proceeded with further, except with the consent of the Board, or as the case may be, the Appellate Authority". It appears to us that the phrase "recovery of money" must be construed ejusdem generis and accordingly recovery proceedings in the nature of execution or any other coercive enforcement that has been ordained to be not maintainable. We do not find any logic in holding legal proceedings to be not maintainable, or to be liable to be halted unless, even if the debt sought to be proved in the Plaint has not been admitted. Given the delays presently endemic in the justice delivery system if a creditor is disallowed even from proving the indebtedness of a recalcitrant debtor SICA company, it would cause unju ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... en reflected in the Scheme, or because it stands favourably adjudicated in a Court of law, the protection of Section 22 of SICA would automatically have to be implemented. This is the watershed between the present and the preceding case. Having obtained a decree, further proceedings fall within the protective mantle of Section 22 of SCIA as they cannot but be in the nature of "execution, distress or the like". A plain reading of the provision cannot but lead to any other conclusion. If there are unique circumstances, which would justify the execution of the decree, even in the face of the registration of a Scheme under SICA, the proper recourse possible would be to obtain the permission or consent of the Board or the Appellate Authority as ..... X X X X Extracts X X X X X X X X Extracts X X X X
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