2021 (6) TMI 788

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....titioner/Applicant) Under Rule 11 r/w Rule 32 of NCLT, Rules 2016 by inter-alia seeking to appoint an independent auditor/professional for conducting an audit/investigation into the affairs of the Respondent No. 1 company a/w Respondent No. 5 Company and Sathyam Roller Flour Mills Private Limited, for the period 2019-20 to 2020-21. 2. C.A No. 38 of 2021 in C.P No. 45/BB/2021 is filed by Shri Ankit Bansal (Petitioner/Applicant) & 2 others Under Rule 11 r/w Rule 32 of NCLT, Rules 2016 by inter-alia seeking to appoint an independent auditor/professional for conducting an audit/investigation into the affairs of the Respondent No. 1 company a/w Bright Flexi International Private Limited and Sathyam Roller Flour Mills Private Limited, for the ....

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....s been misappropriation of and siphoning of funds through 232 self cheques worth Rs. 16.5 crore and 94 cheques worth Rs. 9.19 crore for which details were not furnished. Payments have been made in cash in excess of the limits provided in the Income tax Act. (4) Instructions have been given to the HODs for not disclosing any information to the Applicant; and they have been instigated against the Applicant/Petitioner. (5) Details of fictitious transactions have not been furnished to the Applicant. (6) There is manipulation of the number of employees on the rolls. While there are only 600 to 700 employees on the rolls of Bright Packaging, there are about 1400 actually working. Large part of the salaries are paid in c....

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....cts of misappropriation, manipulation, siphoning of funds and efforts to keep the Applicant out of the Company's affairs. This would deplete the assets of the company, and needs to be prevented by ordering a full investigation into the affairs of the Company. Alternatively, to put some observer who can monitor that no malfeasance/misappropriation takes place. 8. Mr. S Raghavan, Senior Counsel for the Respondent has vehemently opposed the relief sought in these CAs. He referred to our order dated 28.05.2021 to state that when no prima facie case of oppression and mismanagement is made out against the Respondents, since the main CPs are to be taken up in a few days, and the CPs appear to be not maintainable, and after due consideration....

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....tion are concerned. This would not be in order. 10. However, we are also of the view that the issues raised in the present CAs cannot be ignored once having been brought to our notice. They are accompanied by specific details and evidences that need to be examined after giving due and fair opportunity to the Respondents. We have made it clear during the hearing today that while all the issues of oppression and mismanagement shall be taken up in the main CPs, our immediate concern is that the value of the company's assets should not suffer diminution in any way, and its income and available funds remain in and utilized only for the business. Any diversion or siphoning off would harm all the stakeholders. 11. Our other concern is th....