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        Companies Law

        1958 (10) TMI 27 - HC - Companies Law

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        Existing jurisdiction notification continues after statutory re-enactment unless inconsistent or superseded, preserving District Court jurisdiction. Upon repeal and re-enactment of a statute, an existing notification conferring jurisdiction continues under section 24 of the General Clauses Act, 1897 ...
                        Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.

                            Existing jurisdiction notification continues after statutory re-enactment unless inconsistent or superseded, preserving District Court jurisdiction.

                            Upon repeal and re-enactment of a statute, an existing notification conferring jurisdiction continues under section 24 of the General Clauses Act, 1897 unless it is inconsistent with the new enactment or replaced by a fresh notification. The earlier notification authorising the District Court was therefore still effective after the Companies Act, 1956 commenced, despite the absence of a new notification under section 10. The jurisdictional objection failed, and the application could be entertained on that basis.




                            Issues: (i) Whether the District Court retained jurisdiction to entertain an application under section 75(4) of the Companies Act, 1956 after the commencement of the new Act in the absence of a fresh notification under section 10 of that Act.

                            Analysis: The earlier notification conferring jurisdiction on the District Court had been issued under the repealed Companies Act, 1913. Section 645 of the Companies Act, 1956 did not, on its terms, clearly preserve that notification. However, section 24 of the General Clauses Act, 1897 applies where a Central Act is repealed and re-enacted, and provides that existing appointments, notifications, orders, schemes, rules, forms and bye-laws continue in force, so far as they are not inconsistent with the re-enacted provisions, until superseded by a new appointment or notification. The notification of 20 February 1947 therefore continued to operate, and the District Court's jurisdiction was not displaced merely because no fresh notification had yet been issued under the new Act.

                            Conclusion: The District Court had jurisdiction to entertain the application, and the objection to jurisdiction failed.

                            Final Conclusion: The revision succeeded, and the matter was sent back for the application to be dealt with on merits according to law.

                            Ratio Decidendi: Upon repeal and re-enactment of a statute, an existing notification conferring jurisdiction continues in force under section 24 of the General Clauses Act, 1897 unless it is inconsistent with the new enactment or is superseded by a fresh notification.


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