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HIGH COURT OF DELHI : NEW DELHI

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IA No.10073/2006 in CS (OS) No.1740/2006

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Judgment reserved on : 10^th February, 2009

Judgment pronounced on : 13^th April, 2009

M/s. Action Construction Equipment

….Plaintiff

Through : Mr. Sanjeev Narula, Adv.

Versus

M/s. Gulati Industrial Fabric P. Ltd.

..... Defendant

Through : Mr. Manish Dhir, Adv.

Coram:

HON'BLE MR. JUSTICE MANMOHAN SINGH

1. Whether the Reporters of local papers may

be allowed to see the judgment?

Yes

2. To be referred to Reporter or not?

Yes

3. Whether the judgment should be reported

Yes

in the Digest?

MANMOHAN SINGH, J.

1.

The plaintiff has filed the instant suit for permanent

injunction and misuse of confidential information.

2.

Alongwith the suit, the Plaintiff has also filed an

application under Order 39 Rule 1 and 2 read with Section

151 CPC.

3.

An ex parte ad-interim order was passed against the

defendant on 11.09.2006 in IA No. 10073/2006.

4.

The case of the plaintiff company has been in

existence for more than a decade. It started manufacturing

Mobile Tower Cranes and other infrastructure construction

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equipment and is a major supplier of products to a number of

reputed companies in the Private as well as Government

Sector, to name a few CCL, Ranchi, WCl, Nagpur, SECL,

Bilaspur, Punjab State Electricity Board, Rajasthan State

Electricity Board, NHPC, NTPC, Railways, BSES, Delhi Jal

Board, MCD and Defence etc. in the public sector and

Reliance, ACC, Punj Lyod Limited, Gammon India Limited.

etc. in the Private Sector.

5.

The Plaintiff Company has also been exporting

cranes to U.A.E, Saudi Arabia, Qatar, Bahrain, Kuwait,

South Africa, Kenya, Nigeria, Mozambique, Ethopia,

Algeria, Libya, Mouritious, Madagascar, Sri Lanka, Nepal,

Bangladesh, Bhutan, Malaysia, Singapore, New Zealand,

Kazakhstan Portugal and many other countries.

6.

For the last 10 years, the Company is operating on

independent basis for manufacturing six models of

Hydraulics Mobile Cranes, Front End Loader and Mobiles

Cranes Handler of capacities ranging from 5 tons to 20 tons

and for last eight years manufacturing 2 models of Tower

cranes. The Company provides complete range of Pick-N-

Move cranes suiting to the core sector of Indian Industry.

7.

The Plaintiff company is the leading manufacturer

of the Hydraulic Mobile Cranes & Tower Cranes in India.

The Plaintiff Company has already supplied over 4000

cranes of different models as on date. The products have also

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been endorsed and certified to be quality products by the

Ministry of Defense, SAIL, Engineers India Limited.,

Department of Atomic Energy for the purposes of competing

its tenders.

8.

The Plaintiff has achieved a net turnover of Rs.200

crore for the period ending 31^st March, 2006. The net-worth

of the Company Was Rs.3914 lacs as on 31^st March 2006.

The Balance sheets of the Plaintiff Company for last five

years are being filed along with the plaint.

9.

As

per

Plaintiff,

when

the

company

was

incorporated in 1995, R&D (Research Development) Team

was constituted. They started developing and designing the

cranes. This involved extensive use of labour and money on

the part of the company and thereafter the successful type

and design of Mobile Tower Cranes was developed. This

was done by the Company‟s design Engineers, who were

involved in R&D (Research Development) Team of the

Plaintiff.

10.

The Tower Cranes have two models depending on

lifting capacity and not limited to the models marketed as

“MTC2418, MTC3625” etc.

11.

Sometime in 1997, the defendant approached the

Plaintiff for the supply of the fabricated components of the

Tower crane.

12.

The plaintiffs gave the industrial drawings of the

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key components of Tower Cranes to the Defendan