JUDGMENT

BHAGAWATI, J. :— These three appeals arise out of the same facts and it would, therefore, be convenient to dispose of them by a common judgment. The respondent in all the three appeals is one Haridas Mundra. He was at all material times the managing director of S. B. Industrial Development Co. (Pvt.) Ltd., who were the managing agents of a company called Richardson & Cruddas Ltd. He and his brothers Tulsidas Mundra were also directors of Richaredson & Cruddas Ltd. The Life Insurance Corporation of India, which was the largest shareholder, filed a petition in the High Court of Calcutta being Matter No. 357 of 1957 seeking relief against mismanagement of Richardson and Cruddas Ltd. under Sections 397 and 398 of the Companies Act. 1956. The respondents and other directors were impleaded as party-respondents to the petition. The High Court on the application of the Life Insurance Corporation, made an interim order sometime in December 1957 appointing Sir Dhirendra Mitra as Special Officer to manage the affairs of Richardson& Cruddas Ltd. There was an audit report made by M/s. Gutgutia & Co., Charted Accountants, in regard to the accounts of Richardsan & Cruddas Ltd., but the s