Messrs INDUSTRIAL DEVELOPMENT BANK OF PAKISTAN,ABBOTTABAD vs Messrs
This petition for leave to appeal is directed against the order of the Peshawar High Court, Abbottabad Bench, which transferred an appeal filed by the respondents against the petitioner to the Company Judge. The core legal question concerns the mandatory nature of transferring proceedings under section 316(3) of the Companies Ordinance, 1984. The Supreme Court held that a plain reading of the statutory provision leaves the High Court with no option but to transfer the case to the Company Judge for disposal, rendering the impugned transfer order unexceptionable. The Court further held that any objection regarding the jurisdiction of the Company Judge to hear the appeal as a whole may be raised directly before the Company Judge. The petition was accordingly disposed of, establishing the mandatory nature of case transfers under the specified statutory provision.
- Whether the High Court is bound to transfer a case to the Company Judge under section 316(3) of the Companies Ordinance, 1984?
- Can objections regarding the jurisdiction of the Company Judge to hear an appeal be raised before the Company Judge?
- Section 316(3), Companies Ordinance 1984
ORDER
MUHAMMAD MUNIR KHAN, J.---This petition for leave to appeal is directed against the order dated 20-12-1994 of the Peshawar High Court, Abbottabad Bench, whereby the appeal filed by M/s J. Hazit International Limited and seven others (respondents) against M/s. Industrial Development Bank of Pakistan/petitioner, was transferred to the Company Judge, Peshawar.
2. Learned counsel for the parties have been heard.
3. A plain reading of section 316(3) of the Companies Ordinance, 1984 will show that the High Court had no option but to transfer the case to the Company Judge for disposal. So, no exception can be taken to the impugned order. If the petitioner has any objection with regard to the jurisdiction of the Company Judge to hear to appeal as a whole, he may raise the same before the learned Company Judge. This petition is disposed of accordingly.