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2015 (10) TMI 2257 - HC - Companies LawValuation of Shares – Petition filed under Section 397 and 398 of Companies Act, 1956 - Appellant challenges the order on grounds that CLB had no jurisdiction to entertain the application and order of disposal of petition had merged with appellate order which had since been complied – Revenue contends that CLB has wide powers under provisions of Sections 397 and 398 read with Section 402 – As per Regulations 29 and 44 of CLB Regulations, 1991, CLB has power to pass such orders to give effect to its orders for meeting ends of justice and preventing abuse of process of Bench – Valuer abused order by not valuing the shares at specified date and as such CLB was well within its rights to pass the impugned order. Held That:- Powers under Section 402 are wide and extensive but once CLB disposes of petition finally, it ceases to exercise any jurisdiction - Regulation 29(6) does not suggest that after the board divests itself of jurisdiction over the matter, it still retains its jurisdiction to issue further orders - CLB had not retained any seisin over the matter to enable parties to approach it upon valuation to be carried out by statutory auditor and as such it is not permissible for Jain group to approach CLB, if it is aggrieved by valuation of statutory auditor – Valuer has determined the value of shares in accordance with the directions of the CLB as at the date of 31 March 1999 and after considering all relevant material - Valuation does not give rise to any ground to approach the CLB in challenge of the same - It is not open to CLB to interfere with original order of CLB which has since been confirmed with modification by this Court – Decided against the Appellant.
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