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1971 Supreme(Bom) 96

S.B.BHASME
Laljibhai C. Kapadia and Anr – Appellant
Versus
Lalji B. Desai. – Respondent


judgment

1. This is an appeal by defendants 2 and 3 and is directed against the judgment and decree passed in the suit filed by Respondents 1 and 2 against the appellants and Respondent No. 3. the suit was for a permanent injunction restraining Respondent No. 3 and its directors, servants and agents from allowing the appellants to act as directors of the Respondent No. 3 company. A similar injunction was also claimed against the appellants restraining them from acting in any manner as the directors of the respondent No. 3 company.

2. Respondent No. 3 is a public limited company registered under the Indian Companies Act and carries on business, inter alia, as manufacturer of rayon yarn and has its registered office at Bombay. It is the plaintiffs case that on 9-4-1969 the Board of Directors appointed the appellants as additional directors of Respondent 3 company. The Board of Directors consisted at that time of 8 members excluding these additional appointed directors. The plaintiffs have referred to the 8 directors as functioning directors and that may be to distinguish them from the appellants who are appointed additional directors. Thereafter notices dated 10th April 1969 were recei
























































































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