https://www.taxtmi.com/caselaws?id=460356 Gujarat HC recalled its order ratifying assignment of pledged shares and company debts. Applicants, equity shareholders who pledged shares as security for company loan, were not heard in original proceedings. Court held that while creditors can transfer debt as assets, pledged goods remain security requiring preservation until repayment. Company Court lacked jurisdiction to ratify agreements between independent parties. Court exercised inherent powers to recall order due to jurisdictional defect and failure to hear affected parties, allowing application for complete justice. en-us Tue, 28 Jan 2014 00:00:00 +0530 Mon, 20 Jan 2025 20:06:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=460356 Gujarat HC recalled its order ratifying assignment of pledged shares and company debts. Applicants, equity shareholders who pledged shares as security for company loan, were not heard in original proceedings. Court held that while creditors can transfer debt as assets, pledged goods remain security requiring preservation until repayment. Company Court lacked jurisdiction to ratify agreements between independent parties. Court exercised inherent powers to recall order due to jurisdictional defect and failure to hear affected parties, allowing application for complete justice. Case-Laws Companies Law Tue, 28 Jan 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=460356