TaxTMI 
TaxTMI 
2018 (3) TMI 1137
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.... that Section 164(2)(a) of the Companies Act, 2013 and the press release dated 06.09.2017 at Annexure-A , qua directors of Private Limited Company is unconstitutional, is in violation and in contravention of the provisions of Part III of the Constitution of India; and/or (ii) Issue appropriate writ, order or direction for removal of the name of the Petitioner from the list of disqualified directors at Annexure C, issued by the Respondents and permit the Petitioner to act as director in any company without any hindrance; (iii) Issue appropriate writ, order or direction directing the Respondents to unblock the DIN (Directors Identification Number) of the petitioner and remove the disqualification shown at Annexure-B; (iv) Issue appro....
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....nuous period of three financial years, the 'Director' of such Company incurs the ' Disqualification' U/s.164(2)(a) of the Act . The relevant portion of Section 164(2)(a ) of the Act is quoted below for ready reference: "164. Disqualifications for appointment of director- (1) A person shall not be eligible for appointment as a director of a company, if - (a) he is of unsound mind and stands so declared by a competent court; (b) he is an undischarged insolvent; (c) he has applied to be adjudicated as an insolvent and his application is pending; (d) he has been convicted by a court of any offence, whether involving moral turpitude or otherwise, and sentenced in respect thereof to imprisonment for not l....
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....squalification on account of non-filing of financial statements and Annual Returns in one company happens for which they may not be personally liable, they incur the 'Disqualification' U/s.164(2)(a) of the Act and they are deemed to have vacated the office of the Director in other such Companies also as per Section 167 of the Act and therefore this drastic provision of law deserves to be struck down by this Court and therefore the vires of the provision of the Act have been challenged in the present writ petitions. 3. On the Court question, as to whether the petitioners approached the Registrar of Companies seeking a copy of the order passed by him U/s.164(2) of the Act based on the relevant facts or not, the learned counsel for the peti....
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.... basic and primary exercise having not been undertaken by the petitioners is fatal to maintain the present writ petitions in the Court straightaway. 5. There is no factual scenario or application of the provisions on the facts of the case, the validity or justification of which, the Court could apply its mind in the present cases. Merely on the basis of DIN stat us shown on the website of Ministry of Corporate Affairs that the petitioners to be Disqualified to act as Directors do not entitle the petitioners to invoke the extraordinary jurisdiction under Article 226 of the Constitution of India. The operation of law cannot be stalled, diverted or made non-operative and the petitioners cannot be allowed to continue as Directors on the Boar....