| Case ID |
39ecdb04-5a5b-4fb4-91f6-009ac2dac7d8 |
| Body |
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| Case Number |
J.M. Nos. 27 and 47 of 2000 |
| Decision Date |
Nov 13, 2000 |
| Hearing Date |
Nov 13, 2000 |
| Decision |
The Sindh High Court declined to grant the relief sought by the petitioners for the appointment of a receiver, administrator, and manager to run the company. It held that there was no justification for such an appointment and advised the petitioners to approach the Restructuring and Re-Scheduling Committee established by the Government of Pakistan in conjunction with the State Bank of Pakistan for investigating the feasibility of the company and issuing directions for restructuring and re-scheduling. The court emphasized that the financial issues faced by the company and the creditors' demands should be addressed through the proper legal channels rather than through direct intervention by the court. |
| Summary |
The case revolves around the financial difficulties faced by Tharparkar Sugar Mills Ltd., which led to multiple creditors demanding repayments. The petitioners, including Muhammad Rahim and 28 others, sought court intervention to appoint a receiver and restructure the company's debts under the Companies Ordinance, 1984. The court, presided over by Justice Zahid Kurban Alvi, ultimately decided against the petitioners' requests, highlighting the importance of following the established restructuring protocols set by the government and the State Bank of Pakistan. The ruling underscores the legal complexities involved in corporate debt recovery and the importance of adhering to the proper legal frameworks in financial distress situations. |
| Court |
Sindh High Court
|
| Entities Involved |
NDFC,
Tharparkar Sugar Mills Ltd.
|
| Judges |
Zahid Kurban Alvi
|
| Lawyers |
Farooq H. Naek,
Muhammad Farogh Nasim,
Salim-ud-Din Nasir,
Sajjad Ali Shah
|
| Petitioners |
Muhammad Rahim,
28 Others
|
| Respondents |
Chief Executive,
10 Others,
Messrs Tharparkar Sugar Mills Ltd.
|
| Citations |
2006 SLD 391,
2006 CLD 967
|
| Other Citations |
Not available
|
| Laws Involved |
Companies Ordinance, 1984
|
| Sections |
290,
292
|