Amit Nagindas Kapadia Vs United Petrofer Ltd & Ors (NCLAT Delhi)
The National Company Law Appellate Tribunal (NCLAT) considered an appeal filed under Section 421 of the Companies Act, 2013 against an order of the National Company Law Tribunal (NCLT), Ahmedabad Bench, which had dismissed a petition filed under Section 213(b) of the Companies Act, 2013 as not maintainable without issuing notice to the respondents.
The appellant had sought an investigation into the affairs of the respondent company, alleging that its business was being conducted with intent to defraud creditors and stakeholders. The petition relied upon allegations including manipulation of statutory records, false certifications, illegal allotment of shares, incomplete audit reports, non-filing of mandatory statutory forms such as DPT-3, PAS-6, and MGT-14, and a prima facie opinion of the Institute of Company Secretaries of India (ICSI) holding the company secretary guilty of professional misconduct and false certification.
The appellant contended that the NCLT failed to appreciate that the petition sought investigation into fraudulent management, concealment of the company’s true financial position, fabrication of statutory documents, repeated non-filing, false certifications, and backdated approvals, which were alleged to fall within the scope of Section 213(b). It was also argued that dismissal of the petition without notice amounted to a violation of the principles of natural justice.
