CHENNAI: In a drawback to Coimbatore-based Cheran Enterprises Private Limited, the Madras high court has refused to intervene in an order passed from the Company Law Board (CLB) guiding the enterprise to repay Rs 79 crore investment created by a Mauritius-based firm with attention. In default, Cheran was faked to move 25 acres of property owned by its subsidiary, Vasantha Mills, into the investor. “This court is of the opinion that these attractions are yet another act of oppression exercised by Cheran from the shareholders, by re-agitating exactly the identical cause in another kind by its subsidiary Vasantha Mill to postpone the inevitable,” explained Justice G Jayachandran, departure the sequence when blowing allure transferred by Vasantha Mills tough the CLB arrangement. The problem comes to an order passed from the CLB, Chennai, along with the plea moved from the shareholders — ORE Holdings Limited and also N Athappan, also a Singapore-based NRI, alleging mismanagement, misappropriation and recreation of capital from Cheran and its own management director K C Palanisamy. On August 13, 2008 that the CLB purchased Cheran to yield Rs 75 crore and Rs crore spent by ORE and Athappan respectively, with simple interest at 8 percent per annum from the date of investment until the date of repayment in a span of 12 weeks at one or more instalments, starting from November 1, 2008. On default, Cheran has been guided to express 25 acres of property possessed by Vasantha Mill VML in favor of ORE Athappan. Aggrieved, Cheran transferred the high court challenging this purchase. Disposing of this prosecution, a division bench of this court led transfer of this property into the investor subject to consent from the government as there was a pub for a foreign thing to possess immovable property in India. To apply the order of the CLB, ORE transferred an implementation petition in 2011. Challenging the exact same Cheran once more transferred the CLB that subsequently rejected the software permitting the implementation petitions. Aggrieved by the CLB order dated December 13, 2015 Vasantha Mill has transferred the current appeals.
Madras high court Requests Coimbatore Firm to Reunite Rs79 crore to Foreign investor
