Prosecution launched against defaulting company

for Ministry of Company Affairs | Date - 20-08-2004


Lok Sabha

The Registrar of Companies, Jalandhar, has prosecuted Dr. Morepan Laboratories, Solan, Himachal Pradesh, for defying the Company Law Board’s order regarding non-payment to depositors. The case has been filed under the relevant section of the Companies Act, 1956 for non-compliance of the order. The Minister of Company Affairs, Shri Prem Chand Gupta, informed the Lok Sabha today that Dr. Morepan Laboratories had defaulted in refunding matured deposits to investors along with interest to the depositors. The company had filed an application under section 58-A(9) of the Companies Act, 1956 before the Company Law Board (CLB) detailing as to how it was to refund the deposits to the concerned persons. Accordingly, the Company Law Board had ordered the company to make repayments of deposits as per the approved schedule. The Company defaulted in implementing this order. Hence the case was filed in the court of Chief Judicial Magistrate at Solan, Himachal Pradesh, the Minister added.
(Release ID :3349)

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