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2013 (10) TMI 799 - SUPREME COURTApplicability of SICA to the 'foreign companies' registered in India under the provisions of Section 591 of the Companies Act, 1956 – Held that:- Keeping in view the object and scheme of the Act and the virtual consensus of the contesting parties with regard to the present financial health of the respondent company it was clear that the company can no longer fall within the ambit of the expression “sick industrial company” as defined in Section 3(o) of the Act - Further applicability of SICA to the respondent company does not arise. If the respondent company no longer falls within the ambit of a ‘sick industrial company’ as defined by Section 3(o) of the Act and the Act had ceased to apply to the company and the rehabilitation package worked out by the Board had not yet been implemented, the question(s) arising in the present appeals have surely become academic and redundant - If that be so - Instead in fitness of things, we should leave the question open for determination in an appropriate case and as and when the occasion would arise. With regard to the management of the company was concerned we have already found that none of the said issues arise from the order of the High Court under appeal before us - Even otherwise, we will not be justified to go into any of the said issues and express any opinion thereon inasmuch as this Court exercising jurisdiction under Article 136 of the Constitution was not the appropriate forum to adjudicate grievances/claims with regard to the right of management of the affairs of the company by one group of shareholders or the other - It had been urged before us that several contentious issues with regard to the rights of one group of shareholders or the other to be in control of the management of the Company had been raised and some of such claims are still pending before the High Court - Coupled with the above was the pendency of several other proceedings with regard to permanent stay of the winding up of the Company - Taking into account all that had been stated above we are of the view that it would be just, proper and equitable to leave the contesting parties to pursue their remedies before the High Court or such other forum as may be competent in law - For the present, the Management of the Company as on date will continue until orders, if any, varying the current position were passed by any forum competent in law - It was made clear that the above was a mere working arrangement that we have considered appropriate for the present and the same should not be understood as any expression of opinion by us on the entitlement of any particular group of shareholders to run and manage the affairs of the company which issue is left open.
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