"This particular preposition has been followed in the Voltas case" he said.
15 Dec 2020 9:18 AM GMT
Bench and Mr. Sundaram now discussing a judgment by Lord Denning's on the issue of pre consultation.
15 Dec 2020 9:18 AM GMT
"There was an interference. Members of the Board whether nominated by majority or otherwise have a responsibility towards the board. When there is an interference even by minority shareholders, there is a problem" he argues.
15 Dec 2020 9:18 AM GMT
Sundaram now recites the observation of NCLAT
15 Dec 2020 9:15 AM GMT
CJI on a lighter note remarks " You have a lot of experience running in your veins to understand this. "
15 Dec 2020 9:15 AM GMT
"I don't think this depends on the cabinet. There are cases where even minority has to be consulted in politics" CJI said
15 Dec 2020 9:15 AM GMT
"Yes it does, yourlordship. In fact in politics, majoritanism accounts for everything. This isn't the case under companies Act"
15 Dec 2020 9:14 AM GMT
CJI: In the commercial world, money is equivalent to power. Money is a kind of power. If in order to preserve money in a company, somebody seeks assistance of someone outside respected by him or a former chairman, does it amount to loss of independence of board?
15 Dec 2020 9:12 AM GMT
Sundaram: No in fact that is the demand of politics. What is political science is different from corporate understanding.
15 Dec 2020 9:11 AM GMT
CJI: Let us take the case of a CM who before the cabinet meeting consults some party colleagues on what to do and what not to do. Will you say he has lost his independence?