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2000 Supreme(Mad) 704

High Court of Judicature at Madras
THE HONOURABLE MR. JUSTICE A. RAMAMURTHI
Southern Petrochemical Industries Corporation Ltd., Plaintiff - Appellant
Versus
A. S. Mani and Another, Defendants - Respondents
C. S. No. 354, O.A. No. 486 and Appln. No. 2029 of 2000
Decided On : 24 July 2000

Appearing Advocates: For

The court's decision was based on the per se defamatory nature of the publications, the applicant's prima facie case, and the respondents' failure to appear and defend the case.

Headnote:

Defamation - Interim Injunction - Printing, Publishing, Circulating, Distributing or Marketing of Defamatory Articles - Tamil weekly magazine 'Naveena Nettrikkan' - Sections 499 and 500 of the Indian Penal Code, 1860 - Sections 499, 500, 501, 502, 503, 504, 505, 506, 507, 508, 509, 510, 511 of the Indian Penal Code, 1860 - Summary: The court granted an interim injunction restraining the respondents from printing, circulating, distributing, or marketing defamatory articles about the applicant company. The court also appointed an Advocate Commissioner to seize the issues of the magazine Naveena Nettrikkan containing defamatory articles and destroy them.

Fact of the Case:

The applicant company, engaged in manufacturing fertilizers, filed a suit against the respondents for damages and permanent injunction due to false and scandalous materials published in a Tamil weekly magazine, defaming the company, its directors, and executives.

Finding of the Court:

The court found that the publications were per se defamatory and granted an interim injunction, as the applicant had a prima facie case and the balance of convenience was in their favor. The respondents' failure to appear and defend the case indicated their fear to face the allegations.

Issues: 1) Prima facie case and balance of convenience in favor of the applicant company. 2) Justifiable reasons to appoint an Advocate Commissioner to seize the magazine issues containing defamatory articles. 3) Relief sought by the applicant company.

Ratio Decidendi: The court's decision was based on the per se defamatory nature of the publications, the applicant's prima facie case, and the respondents' failure to appear and defend the case.

Final Decision: The court granted an interim injunction restraining the respondents from printing, circulating, distributing, or marketing the defamatory articles and appointed an Advocate Commissioner to seize the issues of the magazine Naveena Nettrikkan containing defamatory articles.

Judgment :-

The Order of the Court was as follows :

These applications are filed by the applicant/plaintiff to grant an order of interim injunction restraining the respondents and their men from printing, publishing, circulating, distributing or marketing the issues dated 10-3-2000, 17-3-2000, 24-3-2000, 31-3-2000, 7-4-2000, 14-4-2000, 21-4-2000, 28-4-2000 and 5-5-2000 and any other issue published pending disposal of this suit and also to appoint an Advocate Commissioner to seize the issues of the magazine Naveena Nettrikkan in respect of the dates mentioned above and any further issues containing defamatory articles about the applicant company, wherever they may be found and destroy the same.

2. The case in brief for disposal of these applications is as follows :

The applicant/plaintiff filed a suit against the respondents for a sum of Rs. 25 lakhs towards damages together with interest and for permanent injunction restraining them from circulating, distributing or marketing the relevant issues or publishing any further defamatory and libellous material against its company or its directors, executives and employees. The applicant company is engaged in manufacturing of fertilizers and fertilizers products. The company is one of the largest of its kind and has developed a high degree of reputation both in India and abroad. It is primarily engaged in the manufacture and marketing of agricultural inputs. It is among the front ranking industrial conglomerates in India with a turnover of Rs. 2800 crores. It has diversified operations run through its divisions and associate companies. Its investments into chemicals and petrochemicals, petroleum products are aimed at ensuring fair returns through meaningful business.

3. The first respondent is the Editor, Publisher and Printer of a Tamil weekly magazine 'Naveena Nettrikkan', purporting to be published every Friday. The 2nd respondent is a writer contributing articles to the first respondent, as can be seen from the publication which is the subject matter. The first respondent has, in the issues of his magazine dated 10-3-2000, 17-3-2000, 24-3-2000, 31-3-2000, 7-4-2000, 14-4-2000, 21-4-2000, 28-4-2000 and 5-5-2000 been publishing false and scandalous materials about the applicant recklessly and maliciously, without verifying the correctness of the statement made. All the 9 issues of the weekly magazine have been filed along with the plaint. All the articles, apart from being false in their contents have been published with an intention to undermine the reputation of the applicant company in the eyes of the public. The respondents have indulged in systematic campaign to repeatedly defame the company, its directors and its executives past and present and their family members. The imputation that they are indulging in criminal acts and immoral, unethical practices in connection with the company's business is calculated to harm the reputation of the company in trading and commercial circles. The offending portions in the issue are also set out in the annexures 1 to 9 to the plaint. In the issue dated 10-3-2000 the very title in Tamil reads "Mooduvizha Kaanum SPIC' suggesting the closure of the applicant company. The issue also speaks of employees being compulsorily retired and that a loving notice to this effect was released by the applicant. The mention of a scheme of compulsory retirement is wholly false. What has been announced is a scheme of voluntary retirement for its employees wherein several benefits have been conferred on such employees who opt for the scheme and is in the nature of a welfare scheme. The scheme is totally voluntary and any reference to any compulsion is false. In the issue dated 17-3-2000, it is stated that the applicant had made arrangements to transfer its heavy chemicals division by dubious means and that all arrangements had been made to have the resolution passed at a meeting to be held on 24-3-2000 and that arrangements had been made at Kamaraj Arangam for a s














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