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2009 (2) TMI 469 - HC - Companies LawInjunction orders - unfairness in conducting the meeting - Held that:- Having accepted that there was an element of unfairness in conducting the meeting insofar as Item No. 6 is concerned, that the company’s off-the-cuff response was unconvincing and that the conduct of postponing the voting was undesirable, in our opinion, the Trial Court erred in not continuing the injunction granted by it earlier on the premise that positive material had not been placed by the plaintiff to show that the resolution would have failed if poll had been conducted on the date originally fixed. Grant or refusal to grant injunction must be based on exercise of sound judicial discretion. We wonder what more was required of the plaintiff to have the injunction continued. We, therefore, find merit in the contention of the plaintiff that the shareholders who might have been present in the meeting held on 25-9-2006 to defeat resolution No. 6 were given a raw deal and we are of the considered view that the Trial Court erred in failing to exercise discretion by continuing the injunction already granted in his favour. The decision in Dalpat Kumar’s case (supra) does not persuade us to refuse injunction since we are convinced that the plaintiff has succeeded in satisfying the recognised factors based whereon an injunction ought to follow. While allowing the appeals preferred by the plaintiff and dismissing the appeal filed by Teji Mandi, we direct that the order passed by the Trial Court on 6-11-2006 shall continue till disposal of the suit.
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