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2021 (7) TMI 411

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..... ded in a given pending legal proceedings before the Competent Forum . As a matter of fact, the Tribunal can permit even the impleadment of third party, if his/its presence is necessary for adjudication of the subject matter in issue. In the instant case on hand, the fact that First Respondent/Applicant being a shareholder of the 9th Respondent/Company is not in dispute. It cannot be brushed aside that in the main Company Petition, the Appellants/Petitioners had alleged mismanagement and oppression in the Company - Appeal dismissed. - Company Appeal (AT) (CH) No. 22 of 2021 - - - Dated:- 7-7-2021 - P. J. Mathews, Davidson Vattupparampil George, Panicker Praveen Raj Gopi, Jayalal Balarajan, Dennis Lavin Noronha, Jones Mathews, Juanita Joseph Thoduparambil, Lalkumar Somarajan Versus C. Mohanan Pillai , Jatayupara Tourism Private Limited , Rajeev Vidyadharan alias Rajeev Anchal ,Padmajan Rajeev ,Gargi Rajeev ,Padmam Mavilaveedu Sahadevan alias Shaji Rajeev ,Guruchandrika Builders and Property Private Limited ,Jatayupara Adventure Tourism Private Limited ,Jatayu Sculpture and Museum Private Limited ,Guruchandrika Studios Private Limited ,Unique Caves Private Limited ,P R Na .....

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..... smanagement and oppression in the Company, this Tribunal is of the opinion that the applicant is a necessary party to the proceedings pending before this Tribunal as CP No.21/KOB/2020. Para 7. In view of the aforesaid discussions, CA/23/KOB/2021 is allowed and the applicant herein Mr. C. Mohanan Pillai residing at Krishna Priya, Podiyattuvila PO, Valakom, Kollam 691532 is impleaded as Additional Respondent No. 23 in the Company Petition No.21/KOB/2020. However, the prayer to implead him in all related Interlocutory Applications is rejected, for the reason that such a prayer cannot be accepted by this Tribunal, because a person seeking impleadment may be impleaded in a Petition in which he is sought to be impleaded ant any other Petition . and directed the Registry to make necessary impleadmemt in the CP No. 21/KOB/2020 and directed the Respondent therein to file counter to the main Company Petition within two weeks etc. Appellants Contentions: 3. Questioning the allowing the CA/23/KOB/2021 in CP No.21/KOB/2020 passed by the National Company Law Tribunal, Kochi Bench, Kerala on 15.03.2021 the Learned Counsel for the Appellants submits that the impugned order i .....

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..... the absence of such party 9. The Learned Counsel for the Appellants adverts to the decision of Hon ble Supreme Court in Razia Begum V Anwar Begum AIR 1958 SC 856 wherein at paragraph 43 it is observed as under: (1) That the question of addition of parties under r .10 of the Code of Civil Procedure, is generally not one of initial jurisdiction of the court, but of a judicial discretion which has to be exercised in view of all the facts and circumstances of a particular case, but in some cases, it may raise controversies as to the power of the court, in contradistinction to its inherence jurisdiction, or, in other words, of jurisdiction in the limited sense in which it is used in s. 115 of the Code. 10. The Learned Counsel for the Appellants adverts to the decision of the Hon ble Madras High Court in the Firm of Mahadeva Rice and Oil Mills v Chennimalai Gounder AIR 1968 Madras 287 wherein it is inter-alia observed that meticulous care to be take to avoid to adding of a party if it is intended merely to rouse to ventilate certain other grievances of one or the other of the parties on records which is neither necessary or expedient to be considered by the Court in the pending .....

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..... No/ 21/KOB/2020 and in any order that may be passed by the Tribunal during the course of the proceedings. In fact, the First Respondent/Applicant is a member holding 1,00,000 non-cumulative non-participating, convertible after five years 12% preference shares of ₹ 10/- each in the 9th Respondent/Company. 14. Before the Tribunal, the Appellants/Respondents 2 to 8 had filed a counter among other things mentioning that the First Respondent/Applicant is a neither necessary party nor a proper party for an effective adjudication of the main Company Petition, because of the fact that he is not involved in the conduct and the management of the affairs of the 9th Respondent/Company (1st Respondent in the main Company Petition) in any manner whatsoever. Further, no reliefs are sought against the 1st Respondent/applicant in the main Company Petition as there is not right to relief against the 1st Respondent/Applicant relating to the acts of oppression and mismanagement, because of the reason the 1sgt Respondent/Applicant is not involved in the conduct and the management of the affairs of the 9th Respondent/Company/First Respondent. 15. In the Rejoinder, the First Respondent/Applic .....

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..... a Substantive Right but one of procedure and the Tribunal in this regard, is to exercise its sound judicial discretion. To determine whether a person is to be impleaded or otherwise, cannot depend mainly on the aspect as to whether he has an interest in the property, but whether a right of a person would get affected, if not impleaded in a given pending legal proceedings before the Competent Forum . As a matter of fact, the Tribunal can permit even the impleadment of third party, if his/its presence is necessary for adjudication of the subject matter in issue. 20. It is to be pointed out that to resolve the controversies/issues concerning the main Company Petition in a satisfactory manner, a party may be arrayed as one of the Respondents, of course, based on the facts and circumstances of a particular case. Moreover, it is not necessary that any relief should be asked against a proper party sought to be impleaded or arrayed as one of the parties to the pending litigation. A proper party is added to avoid plurality of given proceedings and to protect its interest. To put succinctly, a person who is not a party has no right to be impleaded against the Petitioner/ .....

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