9911796707
TMI Blog2020 (8) TMI 432X X X X Extracts X X X X X X X X Extracts X X X X ..... ies which may have filed the financial statements of annual returns as required under the Companies Act. The inclusion of the said proviso has an object as it is found that directors in several companies act in a perfunctory manner and with a view to evade the provisions of the Companies Act remain as director of different companies and continue to remain in the Board of such companies by virtue of the fact that no default had occurred in the other company. It is significant to mention here that director of Regatta Techno-Com System Private Limited and S H Manufacturing and Trading Private Limited are common and keeping in view the object of the said amendment which fastens the liability on the directors and in clear terms specify the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ling the financial statements. In this regard, the learned counsel has relied upon a decision of the Division Bench of this Court in Arun Seth Vs- Union of India Ors. (MAT 1874 of 2017) dated 15th November, 2017 in which on an interpretation of Section 167(1)(a) read with Section 164(2)(a) of the said Act, it was held that disqualification under Section 164(2) of the said Act would not prevent the petitioner to continue to act as director of other companies which are not in default. The view expressed by the Division Bench was prima facie and issue not conclusively decided. It is significant to mention here that the Hon ble Division Bench at the relevant time was considering Section 167(1)(a) of the said Act which did not have a proviso th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h fastens the liability on the directors and in clear terms specify the disqualification that a director would earn irrespective of the fact that he may not be the director of the company which has not committed any default, I find no reason in the communication made by the State Bank of India. In fact, the writ petitioner should have availed the remedies available under the Companies Act and should have complied with the provisions of the said Act instead of subterfuging the same. Under such circumstances, the writ petition fails. The writ petition stands dismissed. The application being CAN 3757 of 2020 is disposed of. There shall be no order as to costs. Urgent photostat certified copy of this order, if applied for, be suppli ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
