Contempt of Court appeal fails

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In a recent judgement, the High Court declined an application by the liquidators of AK Group 2006 Limited (in liquidation) for holding Director Satwant Singh in contempt of Court.

The application had been filed by the liquidators following a non-compliance of the orders of the High Court passed last year directing the respondents to produce records of the companies

In the course of hearing the proceedings against four respondents, the Counsel for Satwant singh raised an issue that the consent orders passed in July 2015 were without instructions and knowledge of his client.

The Court agreed that this issue required determination and therefore the application against Satwant Singh was adjourned to another date, while two other directors were held in contempt of Court orders and directed to pay penalties.

Before the hearing of the matter against Satwant Singh, the liquidator filed another memorandum seeking to introduce two affidavits of other respondents into evidence.

Gurbrinder Aulakh, the Counsel for respondent Satwant Singh, opposed the introduction of this new evidence stating it to be pre-mature and irrelevant to the proceedings.

At the hearing held on July 21, 2016, the Court heard from the counsel for the liquidators, and Mr Aulakh for respondent Satwant Singh and from the counsel who was alleged to have no instructions.

Following this, Justice Heath held that Satwant Singh was not in contempt of the Court orders and the application of the liquidators thus fails.

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