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2016 (12) TMI 1824 - AT - Companies LawOppression and MIsmanagement - misdeeds and dishonesty in the maintenance of minutes of the company - HELD THAT:- On the directions of this Appellant Tribunal the Appellant Company also produced the originals of the relevant minutes of meeting. The 1st Respondent also produced the Photostat copies of the minutes of meeting of the same period which were forwarded to the 1st Respondent for confirmation. The basic principle of justice delivery system involving offence resulting punishment is that if any-allegation is made by any person before a court of law or Tribunal such person is required to support the allegation by bringing on record some evidence to suggest that a prima facie case is made out and there are good reasons for seeking an order. Therefore, the sentence "Supported by such evidence as may be necessary for the purpose of showing that applicants have good reasons for seeking an order for the conducting an investigation into the affairs of the company", as mentioned below clause (a) of Section 213 is applicable in all cases and the applicant(s), whoever prefers application under Section 213, whether they belong to category as mentioned in clause (a) or clause (b), such evidence is required to be relied upon not only to justify the allegations, but also to Show that there is a good reason for seeking an order, to enable the TribunaI to form its opinion - The other basic principle of justice delivery system that a court or a Tribunal while passing an order is not only required to give good reason based on record/evidence but also required to show that after being satisfied itself the Court/ Tribunal has passed such order. The sentence “if it is satisfied that there are circumstances suggest" mentioned in clause (b) of Section 213 is applicable to all cases, irrespective of the category to which the applicant(s) belong i.e. clause (a) or clause(b) of Section 213 of the Act - The Tribunal is not expected to refer all the evidence to form opinion about the malpractice or for fraud mentioned in sub-clause (i), (ii) and (iii). It is the-job of the Inspecting Authority (Inspector) to go through the evidence before coming to a conclusion and forming opinion that malpractice or fraud mentioned under sub clause (i) or (ii) or (iii) has been committed by one or other member or director(s) or person(s) or the company. In the present case, the Tribunal has relied on certain record/evidence, applied it mind, satisfied itself and given good grounds to Order investigation, there are no reason to interfere with the impugned order. For the reason aforesaid and in absence of any merit, appeal is dismissed.
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