The appellant Joseph Augusthi was the Managing Director of the Palai Central Bank Limited from 26 1 1927 to 8 8 1960 George Thomas and George Joseph who are the appellants in the two other appeals Nos.
254 to 256 of 1963.
After the Official Liquidator came on the scene, he made three reports to the High Court report No.
The appellants filed their objections on the 23rd November, 1961 to the first two reports.
192 on the 17th August, 1961 report No.
The matter was then ,considered by the learned single Judge of the Kerala High Court and after hearing the parties, he made an order directing the public examination of the three appellants under s. 45G 2 .
An application for the winding up of the said Bank was made before the Kerala High Court by the Reserve Bank under section 38 3 b iii of the Act.
A. S. Muhammad, for the appellant in C.A. No.
All these reports were made under s. 45G 1 of the Act.
254/ 1963.
CIVIL APPELLATE JURISDICTION Civil Appeals Nos.
The Judgment of the Court was delivered by GAJENDRAGADKAR, C. J. Two questions of law have been raised, before us by Dr. Seyid Muhammad on behalf of K. Joseph Augusthi, the appellant in Civil Appeal No.
X of 1949 hereinafter called the Act .
This order was challenged by the appellants by preferring three appeals before a Division Bench of the High Court.
He also argues that in making an order for the public examination of the appellant, the High Court has misconstrued the scope and effect of the relevant provisions of the said section.
Dr. Seyid Muhammad companytends that the answers given by the Kerala High Court to both these questions are erroneous According to him, s. 45 G is unconstitutional inasmuch as it companytravenes the fundamental right guaranteed to the citizens of this companyntry by Art.
C. Setalvad, Atiqur Rehman, Shureshta Kumari and K. Hathi, for the respondent in all the appeals .
254/63 B. Dadachanji, 0.
March 11, 1964.
255 and 256 of 1963 .
The order of winding up then followed on the 5th December, 1960, and on the 8th December, 1960, an Official Liquidator was appointed under s. 39 of the Act.
C. Mathur and Ravinder Narain, for the appellants in C.A. Nos.
242 on the 29th September, 1961 and report No.
Both of them are related to section 45G of the Banking Companies Act, 1949 No.
The first question raised has reference to the validity of the said section and the second to its true scope and effect.
255 and 256 of 1963 respectively, were the Directors of the said Bank , the first of them was the Director from 14 1 1935 to 8 8 1960 and the latter from 26 1 1927 to 8 8 1960.
The said provision justi fies the making of an application by the Reserve Bank in case in the opinion of the Reserve Bank, the companytinuance of the banking companypany in question is prejudicial to the interests of the depositors.
On the 8th August, 1960, an order was passed on the said application appointing the Official Liquidator of the High Court the Provisional Liquidator of the Bank.
20 3 of the Constitution.
350 on the 4th December 1961.
