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1936 (7) TMI 9

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..... y with the order of the learned Chief Justice granting permission to the petitioner to inspect the documents mentioned in his petition. Considering that the Official Liquidator could not disregard the order of this Court, I issued notice to him to appear before me and explain the matter. He has submitted a reply in writing urging that the previous order was passed behind his back, that he never refused inspection but merely postponed it till after the examination of the Cawnpore Directors, that the conduct of the petitioner was extremely suspicious, that the real object of the petitioner was not to help the Official Liquidator in his examination of Lala Harkishan Lal, as alleged by him, but to pick out information which may be of use to the .....

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..... the Official Liquidator. Mr. Ram Lal Anand has admitted that he was present at the time when the order was made by the learned Chief Justice and that he had even consented to it. He, however, adds that his consent was based on the consideration that Lala Harkishen Lal's statement was to be recorded on the 12th and that his consent became ineffective as soon as it was decided to postpone the examination of Lala Harkishen Lal to the 17th. The Official Liquidator has urged that certain Cawnpore Directors are now to be examined before Lala Harkishen Lal's examination takes place and that his unwillingness to place the record at the disposal of the petitioner is based on the ground that the petitioner would very likely use the information gaine .....

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..... the Companies Act that circumstance would not be a bar to the exercise of the right by persons authorised under the law to inspect the documents and other records which the law permits. In this case there are more than a dozen persons who are yet to be examined and their examination might take more than a month. If once it is conceded that it is open to the Official Liquidator to refuse the inspection of the records on the ground that the information thus obtained may not be used in favour of the Directors to be examined no contributory or creditor would be permitted to exercise his right under the law until the whole show is over. This evidently could not be the intention of the Legislature. Section 211 of the Companies Act places this m .....

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