1. The first application (C.A.No.156 of 2007) has been filed by the Applicant-Intervener under section 10E(4-C)(a) and 10E(4D) of the Companies Act, 1956 ("the Act") read with Regulation 44 of the Company Law Board Regulations, 1961 seeking directions against the petitioners 9, 18, 21 and 22 (a) to establish their locus standi to maintain the Company Petition, in view of subsequent sale of their shares, which are presently held by the applicant; and (b) to permit the applicant to initiate appropriate criminal action against the petitioners 9, 18, 21 and 22 for giving false evidence and playing fraud, as claimed therein.

2. The second applicati on (C.A.No.112 of 2008) has been filed for impleadment of the legal heirs of the deceased 7^th respondent, one of the then directors of the Company, who had custody of registers and records of the Company, with a view to cause production of those records for proper adjudication of the present disputes.

3. Shri P.M. Arvindh Pandian, learned Counsel, assisted by Shri T. Kumar, learned Counsel, in support of the applicant-intervener submitted:

mTh e 9^th petitioner held 500 shares, when the petitioners 18, 21 and 22 each held 2500 shares of the Company and later transferred their shares to the second respondent, which was registered by the Company as early as on 07.04.1997. The applicant had acquired from the second respondent all those shares, which were approved by the Company on 21.04.1997. Those transfers are reflected in the share certificates, in terms of the endorsements contained on reverse of the certificates, originals of which are produced by the applicant. The transfer in respect of the second petitioner's shares was effected by Krishnnan and the same person endorsed the transfer registered in the name of the intervener.

m The applicant having purchased the shares from the respondent nos. 9, 18, 21 & 22 is the bona fide holder of the shares, as claimed by him. The share certificates produced by him in C.A. 156 of 2007 are genuine and issued by the Company. The name of the applicant is reflected in the register of members of the Company.

mThe aforesaid petitioners falsely claiming themselves to be shareholders have filed the Company Petition, but failed to file any original share certificates to sustain their claim. They have given false evidence, false declaration and perpetuated fraud on this Bench, apart from causing mental agony to the applicant and depriving his shares acquired from them. It is, therefore, just and necessary to call for and verify the original share certificates held by the petitioners and their entitlement for the shares reportedly held by them. If the petitioners are allowed to prosecute the Company Petition, without meeting the requirements of section 399 of the Act, the applicant will be put into ir-repairable loss and hardship.

mOne Selvaraj, one of the last known directors of the Company, has been impleaded as the 7^th respondent to the Company Petition by an order dated 24.08.2004 made in C.A.No.91 of 2004. The Chairman, Management Committee, appointed by the Bench has reported in his communication dated 28.06.2008 that Selvaraj was in possession of the registers and records of the Company and Selvaraj is no more. I n view of this, his legal heirs may be directed to produce the Company's records. The deceased Selvaraj is survived by his widow and three sons, who should be impleaded as parties to the present proceedings for proper adjudication of the disputed matters, thereby safeguarding the interest of the Company.

4. Shri D. Chandragupta, learned Counsel, representing the respondents 2 & 3 adopted the arguments advanced on behalf of the applicant.

5. Shri T.K. Bhaskar, learned Counsel, appearing for the petitioners/respondents, submitted as under:

nThe petitioners 1 and 2 represent themselves and act as power of attorney holders of the petitioners 3 to 22 in the Company Petition. The petitioners collectively hold 64,900 equity shares out of the paid up c