In another appeal filed by Nippon Denro Ispat against Shaw Wallace, the division bench directed Shaw Wallace to pay Rs 1 crore to Nippon Denro by December 4.
This first order was passed by Justice U C Banerjee and Justice R K Mitra on an appeal filed by the All India Shaw Wallace Employees Federation challenging the Company Law Board's refusal to pass any order on Federation's application against SWC.
The division bench fixed December 11 as the next date for hearing the case.
The Bench in their order directed that "SWC or its subsidiaries shall not make any investment or disinvestment or borrow or given loan and advance to any of its subsidiaries or to any other concern or concerns of an amount exceeding Rs 50 lakhs without the prior leave of the court."
The Bench, however, observed that this order will not prevent CLB from carrying on hearing cases pending in CLB.
The SWC Employees Federation has moved an application in the CLB alleging mismanagement in SWC. The Department of Company affairs also sought the appointment of government nominees on the SWC board.
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SWC made a petition for adjournment of the case, which was opposed by the Employees Federation.
On September 27, the CLB has passed the order refusing to pass any order on the Federation's application and allowed SWC's plea for adjournment.
While moving the appeal, Sudipta Sarkar and Amit Basu, counsel for the Employees Federation, sought an order that the board of SWC be superseded and an administrator or special officer be appointed to take charge of the management and affairs of SWC.
The federation's counsel also sought the court's order that a scheme be framed for the management and control of the affairs of SWC.
The employees further prayed that chairman of SWC, M R Chhabria and other directors of SWC should be restrained from acting as director of SWC and from interfering with the management and also from dealing or disposing of the assets, properties and funds of SWC.
Nippon Denro filed the appeal against the order of Justice S K Sen which ordered Shaw Wallace to pay dues of Rs 4 crore to Nippon Denro in six instalments with 20 per cent interest. Nippon Denro contended that the Shaw Wallace had agreed to pay 33 per cent interest.
The division bench said the interest would be decided when the matter was taken up for hearing mid-December.