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of <h1>Employee's Mismanagement Allegations Dismissed: NCLT Upholds Decision</h1> <h3>Pramod Kumar Versus Pawan Hans Ltd., Krishan Kumar Foreman (Painter), Satnam Singh, Ashok Kumar Yadav, M.S. Boora, J.P. Srivastava, T.D. Thomas, Vijay Pathyan, V.C. Katoch, C. Hari Kumar, P.S. Das, Subroto Chandra, K.B. Malhotra, Ashish Yadav, Ashok Kumar Dang</h3> Pramod Kumar Versus Pawan Hans Ltd., Krishan Kumar Foreman (Painter), Satnam Singh, Ashok Kumar Yadav, M.S. Boora, J.P. Srivastava, T.D. Thomas, Vijay ... Issues:1. Appellant's claim of mismanagement and irregularities in the company.2. Invocation of powers under Section 213 (b) (ii) of the Companies Act 2013.3. Dismissal of the petition by the National Company Law Tribunal (NCLT).4. Appeal against the NCLT's decision.5. Eligibility of a Public Sector Undertaking employee to file under Section 213 (b) (ii).Issue 1: Appellant's Claim of Mismanagement and Irregularities:The Appellant, an employee of the company, alleged mismanagement and irregularities, claiming that certain officers were involved in siphoning off funds. He highlighted the deployment of an unqualified foreman in technical roles, leading to risks for clients. Despite reporting the issue to senior officials and the Minister of Civil Aviation, no action was taken. The Appellant sought an investigation into the company's affairs for misfeasance, misappropriation, and mismanagement of funds.Issue 2: Invocation of Powers under Section 213 (b) (ii):The Appellant sought to invoke the powers of the NCLT under Section 213 (b) (ii) of the Companies Act 2013, which allows for an investigation if there are circumstances suggesting fraud, misfeasance, or misconduct by persons involved in the management of a company. The Appellant presented evidence of overtime payments to the foreman, alleging fraudulent practices.Issue 3: Dismissal of the Petition by NCLT:The NCLT dismissed the petition, labeling it as mala fide and an abuse of the legal process. The NCLT found the petition to be motivated by vendetta, with no substantial grounds for investigation. It concluded that the inclusion of the foreman in the maintenance team did not amount to fraud or mismanagement, and the Appellant's allegations were baseless.Issue 4: Appeal Against NCLT's Decision:The Appellant appealed the NCLT's decision, arguing that any person can file an application under Section 213, and the NCLT should have considered the evidence presented. However, the Appellate Tribunal upheld the NCLT's decision, stating that the Appellant failed to establish grounds for an investigation and that the petition was frivolous.Issue 5: Eligibility of PSU Employee to File under Section 213 (b) (ii):The Appellate Tribunal questioned whether an employee of a Public Sector Undertaking (PSU) could file under Section 213 (b) (ii). The Tribunal examined the relevant provisions and found that the satisfaction of the NCLT regarding circumstances suggesting misconduct by management was crucial. It determined that the Appellant's grievances did not warrant an investigation, as the foreman's inclusion in the maintenance team was justified.This judgment highlights the importance of establishing substantial grounds and satisfying legal criteria when seeking investigations into company affairs. It underscores the need for evidence-based claims and the risk of facing costs for filing frivolous petitions. The decision emphasizes that administrative decisions within a company's management structure are not subject to judicial interference based solely on employee grievances.
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