1987 (11) TMI 324

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....btor, P. S. Khambete, was recorded by the court wherein he stated that the shares of the said company had been lost by him a few years back. There was a letter on the records of this company that the shares mentioned in the records of this case were standing in the name of P. S. Khambete, judgment-debtor, vide order dated August 10, 1984, Shri U. L. Watwani, advocate, was appointed by the court as a receiver to take charge of the shares attached from the Delhi Stock Exchange Ltd. It was further directed that the receiver would also take steps to get duplicate shares of Superior Air Products Ltd. standing in the name of P. S. Khambete who was present in court on that day and he was also directed to assist the receiver in all respects in gett....

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.... Raja Ram Bhasin and Co., Share Brokers, 8/4, Deshbandhu Gupta Road, New Delhi, long time back prior to the year 1977. Shri Maheshwari lodged these shares with this company with 12 share transfer deeds duly executed by the judgment-debtor, P. S. Khambete. The company duly considered the matter and, vide its resolution No. 5 dated September 21, 1977, resolved to reject the application of Shri Maheshwari and refused to transfer the shares from the name of P. S. Khambete to the name of Shri Maheshwari, the purchaser. Even the appeal filed by Shri Maheshwari against the aforesaid decision of the company before the Company Law Board (being Appeal No. 10 of 1978) was heard and dismissed on February 13, 1981, by Shri S. M. Duggar, Member, Company ....

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....on the shares (e.g., calls) after the date of the contract of sale. The company, under these circumstances, is entitlea to deal with the judgment-debtor as in the records of the company it is he who is mentioned to be the owner of the shares and the sale thereof in favour of Shri Maheshwari has not been accorded any recognition by the company. In this view of the matter, the judgment-debtor, P. S. Khambete, is for all intents and purposes for the outside world only a defunct legal holder of these shares whereas the true beneficiary and the equitable owner is Shri Maheshwari. These facts were not known to the court when the impugned order dated August 10, 1984, was passed by the court appointing the receiver to take charge of the said shares....