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2017 (7) TMI 1254 - AT - Companies LawChange of company status from public to private company - Oppression and mismanagement - Held that:- Tribunal has noticed that the objectors are not in a position explain as to how the interest of the company would be prejudiced if the application of the company is allowed conversion from public company to private company. We find that the learned Counsel for the appellant has also failed to satisfy as to how the appellant/ objectors' interest or the company's interest will suffer, if company is allowed for conversion of its status to private limited company. There is nothing on record to suggest that conversion would not be in the interest of company and it is in contravention any of the provisions of law or that the said application has been filed in violation of any provisions of the Companies Act, 2013. In absence of any deficiencies, the Tribunal being satisfied having regard to the facts and circumstances of the case allowed the application. From the arguments advanced on behalf of the 2nd objector/ appellant, we find that the 2' objector/ appellant intends to make out a case of 'oppression and mismanagement' by the Directors and 1St. Respondent company, which cannot be noticed in a petition under Section 14(1)(b) of the Companies Act, 2013, though it is open to the shareholder(s) to move an appropriate application under Sections 241 and 242 of the Companies Act, 2013, if they qualify under Section 244 of Companies Act, 2013 and if there is an act of 'oppression and mismanagement' on the part of any of the Director(s) or 1st Respondent Company.
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