JUDGMENT

C.K. THAKKER, J. - Leave granted.

2. The present appeal is directed against summary dismissal of writ petition No. 5664 of 2006 on February 12, 2007 by the High Court of Judicature at Bombay observing that it was not a fit case to entertain the petition in exercise of extraordinary jurisdiction under Article 226 of the Constitution.

FACTUAL BACKGROUND

3. The case has a chequered history and with a view to appreciate the contentions raised by the parties, the background is required to be kept in view. Laxmi Vishnu Textile Mills (`Company for short)--respondent No.1 herein was formerly known as Vishnu Cotton Mills Ltd. It was registered on May 19, 1908 under the Indian Companies Act, 1873 (then in force). It was operating through two cotton textile mills, namely, (i) Laxmi Mill, and (ii) Vishnu Mill. Somewhere in the year 1961, Laxmi Mill was merged in Vishnu Mill and was given the present name i.e. Laxmi Vishnu Textile Mills Ltd. There were large number of workers in the mill and there was considerable profit in the business. By the passage of time, however, the Company started incurring losses and things turned worse in later eighties. Proceedings under the Sick Industrial C