1. The Judgment of the Court was delivered by Koshy, J.- First respondent in this appeal (referred in this Judgment as petitioner for convenience) filed a petition under S.237 of the Companies Act, 1956 (hereinafter referred to as 'The Act') to direct the Central Government to appoint one or more competent persons as Inspectors by declaring that the affairs of the Premier Plantations Ltd., first appellant, (hereinafter referred to as 'Company', ought to be investigated and to report thereon within a specified time limit. Before going into the facts of the case we may first discuss the power of this Court under S.237 (a) (ii) of the Act. S.237 of the Act reads as follows:

"Section 237. Investigation of company's affairs in other cases.- Without prejudice to its powers under S.235, the Central Government

(a) shall appoint one or more competent persons as inspectors to investigate the affairs of a company and to report thereon in such manner as the Central Government may direct, if-

(i) the company, by special resolution, or

(ii) the Court, by Order, declares that the affairs of the company ought to be investigated by an inspector appointed by the Central Government; and

(b) may do