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2016 (12) TMI 1426 - Tri - Companies LawCompounding of offences - Held that:- In the present Application, the Applicants have not taken approval of the Board either prior to any of the related party transactions or within three months of entering into such contracts as per Section 297 of the Companies Act, 1956. There is also no approval obtained from the Central Government for any of the related party transactions during the Financial Years 2009 - 14 which is mandatorily required as per the law. Further the application does not have any facts on number of transactions carried out in a year within the meaning of related party transaction as per Section 297 of the Companies Act, 1956. Thus in the interest of justice, the prayer as sought by the applicants is premature and cannot be considered at this stage. Therefore, the applicants are directed to approach the Board and the Central Government for approval of each of the related party transaction, which took place through the Financial Years 2009 to 2014 in accordance with section 297 of the Companies Act, 1956 and they are at liberty to approach this Tribunal subsequently in accordance with law. In terms of above, the present Company Application is disposed off accordingly.
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