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1968 Supreme(MP) 133

High Court Of Madhya Pradesh
Shiv Dayal and S. P. Bhargava, JJ.
GWALIOR SUGAR CO.LTD., DABRA - Appellant
Versus
SHYAM SARAN GUPTA AND CO., KANPUR - Respondents
Letter Patent Appeal 12 Of 1967
Decided On : 09/18/1968

Advocates Appeared:
K.K.DUBEY, U.S.Verma

Headnote:(1) Legal Maxims-rule of 'ejusdem generis' or 'noscitur a sociis explained-applicability of the maxims.

       The ejusdem generis rule or the rule of 'noscitur a sociis' is really a question of the assumed intention of the statute. Where there are general words following particular and specific words, the general words must be confined to things of the same kind as those specified.

       Ejusdem generis rule is founded upon the idea that if the legislature intended the general words to be used in the unrestricted sense, the particular classes would, not have been mentioned. But when the language of the statute is plain there is no uncertainty and the rule has no application.

       For the application of this rule, therefore, it is essential that the specified words before the general words must constitute a category or genus. AIR 1955 SC 810; AIR 1960 SC 1080 t& AIR 1932 SC 1167 referred to [Paras 7 & R

       (2) Interpretation of statutes-principles of construction-plain and natural meaning when given-restricted meaning when rejected.

       The first principle of construction is that the words should be given their plain and natural meaning. The restricted meaning is rejected w hell there are adequate grounds to show that it has Dot been employed in the limited order of ideas to which the preceeding words belong AIR 1957 SC 521; (1956) 2 All. ER 254; (1889) 22 QBD 744; (1890) 15 AC 506; (1859) 28 LJMC 213; (1959) 1 QBD 204 referred to. [Paras 9 & 10

       (3) Companies Act, 1956 - S.439 (i)-Companies (Court) Rules, 1959 -Rule 99-Form No. 48-whether a person other than creditor or contributory can intervene - 'other person' -import explained-relation of one company with another company-right of intervention.

       Every person whose interests are likely to be affected adversely or favourably is entitled to oppose or support a petition for winding up of a company under section 439 of the Companies Act.

       Such person is within the expression 'any other person' in form No. 48 read with rule 99 of the Companies (Court) Rules, 1959.

       When a creditor by petition prays for winding up of a company and that company is the Managing Agent of another company and the former is surety of the latter for huge loans and advances, that other company has the right to intervene and oppose the winding up petition. AIR 1912 PC 112 & AIR 1934 PC 213 distinguished. [Para 12

SHIV DAYAL, J.

( 1 ) THIS appeal under Letters Patent of this Court, is from the order dated 28 July 1967 passed by Pandey, J. , in Company Petition No. 7 of 1965, whereby the appellant's application for leave to intervene was rejected,

( 2 ) SHYAMSARAN Gupta (respondent) made an application for winding up of the company, named "sir J. P. Shrivastava and Sons (M. B.) Private Ltd. , Dabra", (hereinafter called the "debtor-company'), on the ground that the company is unable to pay its debts within the meaning of Section 433 (e) of the Companies act, 1956. Under Clause (f) of that Section, a company may also be wound up, if the Court is of opinion that It is just and equitable that the company should be wound up. When the petition for winding up was advertised under Rule 99 of the companies (Court) Rules, 1959, the Gwalior Sugar Co, Ltd. , Dabra (hereinafter called the 'intervener') applied for leave to intervene, as it desired to oppose the petition. Its application was rejected on the ground that the intervener is neither a creditor, nor a contributory, nor does it come within the expression "other person desirous of supporting or opposing the making of an order on the said petition", within Form No. 48 contained in the said Rules.

( 3 ) THE appellant contended before us, as before the learned single Judge, that the debtor-company is the Managing Agent. It has a large number of fully paid up shares in the intervening company; that the debtor company has guaranteed payment of loan which the intervening company borrows from time to time from certain banks; and that the winding up of the debtor-company would enormously affect the working of the intervening company. Thus, the intervening company has substantial interest in opposing the petition for winding up.

( 4 ) THERE is no dispute that the only provision which enables the supporting or opposing a petition for winding up is contained in Rule 99 of the Companies (Court) Rules, 1959, read with Form No. 48. That Rule reads thus:

"advertisement of petition. Subject to any directions of the Court, the petition shall be advertised within the time and in the manner provided by Rule 24 of these Rules. The advertisement shall be in Form No. 48. "

Rule 24 is a general Rule for advertisement of petition.

( 5 ) THE relevant portion of Form No. 48 is in these words:

"any creditor, contributory or other person desirous of supporting or opposing the making of an order on the said petition should send to the petitioner or his advocate notice of his intention. . "

The appellant's contention is that the words "other person" in the above expression are omnibus. They are comprehensive enough to include any person whoever he may be.

( 6 ) LEARNED counsel for the respondent, on the other hand, urges that the words

"other person" must be restricted to those enumerated in Section 439 of the companies Act. In our opinion, this contention is untenable. Section 439 provides for an application for winding up. It enacts that an application to the Court for winding up of a company shall be by a petition. Those who can present such petition are enumerated. A creditor falls under Clause (b) and a contributory under clause (c ). If the intention of the words "other person" in Form No. 48 was to limit it to the other persons specified in Section 439, then the words "other person" were bound to be qualified by the expression "specified in Section 439 (1)".

In the absence of those words, the expression "other person" cannot be limited to company, the Registrar and the person authorised by the Central Government in that behalf, in a case tailing under Section 243. ( 7 ) WE shall now consider whether the words "other person" must be read ejusdem generis. The ejusdem generis rule, or the rule noscitur a sociis, is really a question of the assumed intention of the statute. Where there are general words following particular and specific words, the general words must be confined to things of the same kind as those specified


























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