Tax Management India. Com
Law and Practice  :  Digital eBook
Research is most exciting & rewarding
  TMI - Tax Management India. Com
Follow us:
  Facebook   Twitter   Linkedin   Telegram

TMI Blog

Home

2021 (2) TMI 892

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... URT] , the Hon ble Apex Court held that while the contemnors had not obeyed the judgment and released the salary, but this disobedience was not wilful so as to amount to a civil contempt and the Court drew a distinction between a Court executing an order and punishing for contempt Thus, in order to hold a person guilty of civil contempt, it has to be established by the person alleging contempt that the alleged contemnor was guilty of a wilful breach or a wilful disobedience of an order or a direction, decree etc. of any Court. The emphasis, therefore, has to be on the word wilful . The word wilful‟ means an act or omission which is done voluntarily and with an intent to do something which is forbidden by law or failing to do so .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... y Petition the applicant herein was holding the post of Director in the 1st and 2nd Respondent Companies. Subsequently, on 23.10.2019, the applicant was removed from the post of Director. The applicant thereafter was reinstated as Director of the 2nd respondent company on 07.01.2020 with effect from 31.12.2019. 4. The applicant s contention is that as per the orders dated 27.9.2019 in IA 23 of 2019 and 31.12.2019 in IA 74/KOB/2019, the appellant was reinstated as the Director of the aforesaid companies. 5. The applicant further stated that vide order dated 27.09.2019 this Tribunal directed to conduct the AGM of the companies stating that no resolution should be passed in the proposed Annual General Meetings for amending the Articles o .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ant from the Board of the respondent companies the 3rd respondent went ahead in inducting one Saji Chacko as Director of the 2nd Respondent Company by filing DIR 12 on 13.11.2019 with effect from 30.9.2019. This was in violation of the above order dated 27.9.2019 which specifically stated that no changes should be made in the composition of the board of the companies. It was also stated that by deliberately inducting and removing members from the Board, the respondent companies management is trying to take control over the companies illegally. 9. The Respondent No. 1 2 in their counter stated that in compliance with the order dated 31.12.2019, the 1st Respondent company had filed all the requisite papers with Registrar of Companies t .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... l. Once a decree has been passed it is the duty of the court to execute the decree whatever may be consequences thereof. But . Before any such contemnor is held guilty and punished, the Court has to record a finding that such disobedience was willful and intentional. If . the Court is satisfied that although there has been a disobedience but such disobedience is the result of some compelling circumstances which it was not possible for the contemnor to comply with the order, the Court may not punish the alleged contemnor. 12. Therefore, before a contemnor is punished for non-compliance of direction of a Court, the Court must not only be satisfied about the disobedience, but should also be satisfied that such disobedience was wilfu .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... guilty of a wilful breach or a wilful disobedience of an order or a direction, decree etc. of any Court. The emphasis, therefore, has to be on the word wilful . The word wilful‟ means an act or omission which is done voluntarily and with an intent to do something which is forbidden by law or failing to do something which the law requires to be done. 15. In view of the law laid down in various judgments mentioned above, it is to be examined whether the act of the alleged contemnors herein can be termed as wilful disobedience or not. The only question, that arises here is whether the appointment of Mr. Saji Chacko Puthenpurayil as Director of the Respondent No.2 Company on 24th Annual General Meeting held on 30.09.2019 was done .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

 

 

 

 

Quick Updates:Latest Updates