In Sesa Industries Limited v Krishna H Bajaj and others the Supreme Court revisited the law on sanctioning a scheme of amalgamation under the Companies Act, 1956, while clearing the way for Sesa Industries to amalgamate with India’s largest private iron ore exporter, Sesa Goa.
Holding that a company court had to satisfy itself that the amalgamation “is not prejudicial to the interest of its members or to public interest” the apex court re-stated the broad requirements that had to be met (as in Miheer H Mafatlal v Mafatlal Industries Ltd) for getting the sanction.
Sesa Industries is a subsidiary of Sesa Goa, which is part of the UK-based Vedanta Group. It appealed a 2009 judgment by the division bench of the Bombay High Court at Panaji, which revoked sanction granted by a company court to the amalgamation of the two companies. The grounds for revoking sanction had been a pending investigation under section 209A of the Companies Act and a report of the Official Liquidator under section 394 (1) that had been vitiated.
You must be a
subscribersubscribersubscribersubscriber
to read this content, please
subscribesubscribesubscribesubscribe
today.
For group subscribers, please click here to access.
Interested in group subscription? Please contact us.
你需要登录去解锁本文内容。欢迎注册账号。如果想阅读月刊所有文章，欢迎成为我们的订阅会员成为我们的订阅会员。
The update of court judgments is compiled by Bhasin & Co, Advocates, a corporate law firm based in New Delhi. The authors can be contacted at lbhasin@bhasinco.in or lbhasin@gmail.com. Readers should not act on the basis of this information without seeking professional legal advice.
