Karnataka High Court
Solidcore Techsoft Systems India ... vs Nil on 9 September, 2011
Author: Aravind Kumar
Bench: Aravind Kumar
_ SANCTION, THE SCHEME OF os SHAREL HOLDERS AND CREDITORS AND A SOFTWARE (INDIA) F LIMITE | PRIVATE | LIMITED AND ITS SHARBHOLDERS Ar iD CREDITORS iN THE HIGH COURT OF KARNATAKA, BANGALORE __ DATED THIS THE 9™ DAY OF SEPTEMBER 2011" oS BEFORE oS THE HOWBLE MRJUSTICE ARAVIND KUMAR. COMPARY PRT?! TON NO.S1/2011 TION NO.B2/2011. (OW NO.S0/2011 S INDIA PRIVATE LAMIITEDD . RESPORDERT re ZADBVAN S N VY JAYARAMAN FOS OL, AY VIIAY, CGC FOR ROG, ADVs,) oes ays COMPANY PETITION is FLED UNDER SECTION 391 TO 204 OF THE COMPA: \LGAMATION SO AS TO 5 ONER COMPANY os (ATE a " Se BaP gk a 7 2k sary, eg fae Ee og fee Gat OLE Dae ee st EF A meh gan fed 2 OR Beas? at BG Ba BY OBR hk Pe BER e pe ERS f my 3 " SE eo BS Paw Aiba og ao *
skoat . RESPONDENT ory EVAR ox inal FOR OL, NV AMATION sw "AS. TO BE COMPANY, ins | ; 1B, SOLIDCORE INDIA "PRIVATE LIMITED AND [Ts HOLDERS AND ¢ CREDITORS AND ETC., JOLDERS AX ARE _ (NDIA im COMPAL -- TOW NO.50/2011 _ MCAPRE | SOF! ; CONT _REGD OFF: EME SSY GOL LD LINK! . PINE VALLE EY geo FLOOR, OFF INDIRANAGAR "BOR:
a BETWEEE :
.NGCALA, INTERMEDIATE RING ROAD OF HAR Ca ae RUSE CRUG DO SARIN A TAR BER PST AL ENS USOT PA Yo Vuay, learned, oan L eppeg Cone party Affaire. Sc ES Mahade hae BANGALORE ~ G00 O71 RAR NATAMA, DVIDUA.
(BY SRK 8 MAHADEVAN & ¥ son FOR, OL, vey ¥ YAY CGC FOR ROC,ADVs) : | "27S COMPANY PEITOON 7s. PILED. ies OR SECTION 391 TO 304 OF THE COMPANIES ACT, 1955: PRAYING TO ICTION THE SCHEME OF A SLGAMATION SO AS TO BE BIDING of THE. PRTTTONER . COMPAN SHAREHOLDERS AND CREDITORS AND ALSO ON RECONREX INDIA PRIVATE LIMITED, SOLIDCORE TECHSOFT SYSTEMS INDIA PRIVATE. LIMT CD. AND FSS SHAREHOLDERS AND CREDITORS AND BTC. | . | THESE, "COMPANY. PET ORDERS, THIS DP ut, THE, COU we :
ORD Heard 8 Sri. Agjus, Jearmed Advocate fbr the petitioner, Sri A a w ior Regional Durecior for wae vor O..,
9. "These company petitions are filed under the i provision of Section 291 to 304 of the Companies Act, 1956 for '. suit ceteris wares BE ve - & _-- -- . tease, we Bass, $ ; approved of Seheme of Arrangement entered info between yt a .
La OB, pee nea eae th Bhs Bh seen BE gel, " FP. ch S 2 Erm oh ey a a om Solideore Techectt Syvetem India Private lLamilec [iramecrol £ Sn ares a4 » Bee oP ws . gS -- Pte BS oe ' wad a gcd '? 2 de a Company No.2Z) and McAfee Sofware Undia) Private Lamlec are engaged in the similar business as. ecumerated: ig the Memorandum enc Artce of Associi acion sppended to the petltioens. Regie tered office of (he aac ones pknies are loc sated at the address mentioned in the cause title of tees petitions wich wittin te jariediction of Reigietrar of Ge pe nies, Mernealeca. Perugal of the petitiog:. dia clodies that sutherised share capita, snd paid-up sp ena of the seepectioe companies is se reflected therein. The Board of 'Dies ctors. of Transferor and Transferee com panias have approved thr . scheme of the amalgamation anc neve sought fox approval ef same by this Court. Insciar ae transferor compan ia are eonesred this Court by order dated 20.02.2011 passed 'i CANO 2364/2011 efw CA.No 2564/2011 2426/2011 hed dizpeneed with convening the 'meeting of equity sharcholders and unsecured crediiora which vedere sre at Anoexure-F of respective petitions. This omurt La sad tes th - os Bodbcmrin g 4 ats i the meectiige Tae aAlme¢ % . é Be a f a at - F s ee that there @ no secured creditor. 5 & gleo coeervec U creditors have given their approval of the propowed echeme-. 4, Wetice of this petition came io 5e igeund on & ey. Be sin alti itty 7 sein ashen, BX pt ge, & & wo gh Regional Director of Company Alar anc ' The Official Liquidater has fisd a repart in © atating thet @iiera of the ms at 5 acted (8 any Manner oo shareholders or fo the peblic... Hence, the cs BaP on oe ey .
e far digscheeon of Les fi). Chruse 8 of ihe scneme proveies fo:
the petitions pertaining fo bol the iransferor gompinias do not have a specific prayer for thei sa _ ee mai _ » senor tet we wenkniny gotiskiee, ne anefercr companies without winding .. Glosehatiors.
fi). The. Memorancdan of Association of ia Ganeferor eapanies have tha enabling provision for amelgameation However, the MDA of traneferee (iy) \ traneferos companie have Kied reply .
' ingots OB 'Dinsetor of the T iy reulsferce Company has alse fled reply Affic compar does not have specific object providing for amalgamaiion. The funeleree coryscogs; has to arvercd the oljecte suitably Since the paid up cogvital of both transferor compariias :
wre hela by their reap vin, Reoonmex Corporation USA os ae nolidoore | holding eomparige : _ systema Ine, UGA, the trangfires com ary ig is required a fee eOYEpA eg qeni appease provisions of PEMA. cowl os :
Fall Regulations while é of frunsfirer commargy as per ache ere. The transféree warn as to fle RAL SCTE, 1 und artaing f a before the Hon ble High Court. 7 : 4.8 the enkire Gabi eOF OG OG ital of f transferee COTE aragg is calves issuer, . subscribed and paid up, the iransterce company rene. "Sg inveriahly increase iis thorteed nape. tn the extent requdred to meet the uvemeris of issue of shaves to the shoreholders of es i iors af sal 23 as per tue 7 provisions of section O¢ & OP af the Companies Acd, wi 'The Man a es th @ shares te shar holders -
"Pen eect i te the aslidavit of ROC, Director of the dew sd Gy'the Regional Director for Gmeechition of the transfercr a ttt LEE US RY Ba Pe WB gels BN hereby 'wideriakes: to make the neneasery re KEM regulations tle i of the Transferor Companies, aun"
Companies Act if an aid t Companies which seek aiidigamation and has furteer held that Mgislature mo ite wisdom hes provided for such vide renge for powers i :
exercaed by (iis court mm the tetiers of amalgamation - conduciwe to the itereet of eharemolders. fn: thet vinw at thie .
8.
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2matter the query raised by the Region: ¢ trough Registrar of Companies cannot be sustained. = & Ineoter an Query Bo. S wilh rega axa te 4 deection to be issued the transferee -entopeny | e ite Hecess ary sitidevit. to comply wits, the 2 applicable provizions § : uiatome, affidavit, nes been fled by the et 2 si tee" stapany datsd on 15.07 2011 end tie tated ae under. Require Lg ohiservation Ne. 3 of the Regione! [urector, Z 'bs ing on ine: ¢ parm under she Automatic Route of the FEMA regulations aru iorlang mt le prowisiona of FEMA and
2. a the Tronsfiree C 2 iets de ¢ ES eoenplienee welts. the apn ng shares to the shureholders ". eomnperies with the authorised capital of tre garding cbeervation No.3 the Managing Director of the transikree company has stated that it is carrying oti business permitted under automatic mute of the FEM". reg"ulations amd it a to meee. necessary ~eporting in compliance with the applicable provisions of: SEMA and FE 7. regulation while meuing aha te the shoreboldes ® of. the panies. In wiew at the aah nodertaking ghren by g@ Director of trenateree Cotapany ihe observation oe stance complied.
8. 'The Re sd ar of ce Pompanies shes abeerved ag Ho4 thal euthorisid ow pital of "the e Tranefiree Company is eacy jagued, subscrined end paidup. eeoitel and. imertesm@ fs ient required to meet the authorized. oopital to the - widers of the requirements ee leone ar 'ghares te: the ena Transferor Companies im terme of the acheme as per croveon oF o pe iwrerenie done. Um 94 and OT of the Compe perusal of the echeme, it would reflect at thet Clause ~ 10 would > grewide lor consolidation of autherized capital of the traneftror feree company.
frente Boat"
euficient t geue sharee a the shareholders of the transferor COMI pales. kven, otnerwiee the affidavit of the Mane vieree company dated 15.07.2011 tied watld ingicatie thet undertak ier. even to report. ae cot plance with apolicale Provision of: the: Ce Cem panies 5 Rot. "8 feacs as wider:
for No f the Regioria! :_Diyentor rusadde to wurease as 2 ers of Tre wre feror - Companies. mn! terme of Hie. sabirmitted thet clesaee 10 of the rigs. Aomori ihe a r cil be. ough ihe mecessery panies Act 3 EE se fel Direetor raised
8. Thus, query No.4 of Re through Registrar of Comps jwtands complied.
. 10. From the materiel on record & & clear that Scheme " of Arrangement being fair end reasonable and all statutory ae se wt ac Sow aos cf ra ae coy at saat NPE PeabhRER SAA ey PERS ALD Baa GE Sago Staal Ba? RB trae.
".. eéheme required sanction. erate rss provisions have been cumplied with and it ie not aderes ie public policy, amc pureuant to the order pasesd by this court, } public notice has been taleen out by the petitioners. in. ac ies Sppose the scherie: an vation, same is required tw he "approved. "Official Liquidater hes also filed report 'stating that _tratieferor bh com pa not conducted their | baeiness prejucd dicigl ta the interest of ffs shareholders or public 'at le il. Sines, all the statutory. "res nig Director of the transk ata of the considered view that scheme of amaig od requires te be semctioned/ approved shace commercial . wisdom « exercise by the Eoerd of Directors of the transleror end
- com pariies being in the post interest of its 'ehareholders, thie court woeukl not be it a position t sit in Mercia inliowing order i pa rs La.
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bf es B ce fs fe t :
SO/2011 are hereby miation i hereby apy proved 685. otioned, ar Bb teansieror « com panize 1& 2 i@ ordered to be disnoWed with ut t there belie any wound- ap p being peesed.
c. oopy of theo rier within 130 days from the date of receipt of & certified OUD OF this eo ede. i Da age tte ere