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2026 DAILYLAW 2536 (KAR)

SHRI PRAKASH BUDOOR v. THE REGISTRAR OF COMPANIES KARNATAKA

WP/50317/2019 · 2026-04-07

Sachin Shankar Magadum

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Judgment text

Extracted from the PDF above. The PDF is authoritative.

- 1 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 7TH DAY OF APRIL, 2026 BEFORE THE HON'BLE MR. JUSTICE SACHIN SHANKAR MAGADUM WRIT PETITION NO. 50317 OF 2019 (GM-RES) C/W WRIT PETITION NO. 50303 OF 2019 (GM-RES) WRIT PETITION NO. 50322 OF 2019 (GM-RES) WRIT PETITION NO. 3520 OF 2022 (GM-RES) IN WP No. 50317/2019 BETWEEN: 1. SHRI PRAKASH BUDOOR S/O SHRI B SIDDAPPA AGED ABOUT 39 YEARS OCCUPATION DIRECTOR M/S ALLIANCE BUSINESS SCHOOL NO.100, 34TH MAIN, 2ND CROSS DOLLARS SCHEME, BTM I STAGE BANGALORE-560068. 2. SHRI ABHAY GOVIND CHEBBI S/O SHRI G B CHEBBI AGED ABOUT 30 YEARS, OCCUPATION DIRECTOR M/S ALLIANCE BUSINESS SCHOOL NO.100, 34TH MAIN, 2ND CROSS DOLLARS SCHEME, BTM I STAGE BANGALORE-560068. …PETITIONERS (BY SMT. MONICA PATIL, ADVOCATE FOR SRI. JOSEPH ANTHONY, ADVOCATE) AND: 1. THE REGISTRAR OF COMPANIES KARNATAKA Digitally signed by CHAITHRA A Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER (MINISTRY OF CORPORATE AFFAIRS GOVERNMENT OF INDIA) E WING, 2ND FLOOR KENDRIYA SADAN, KORAMANGALA BANGALORE-560034. 2. THE REGIONAL DIRECTOR SOUTH EASTERN REGION (SER) MINISTRY OF CORPORATE AFFAIRS 3RD FLOOR, CORPORATE BHAVAN BANDLAGUDA, NAGOLE TATTIANNARAM VILLAGE HAYAT NAGAR MANDAL RANGA REDDY DISTRICT HYDERABAD-500068. 3. THE DIRECTOR GENERAL OF CORPORATE AFFAIRS GOVERNMENT OF INDIA MINISTRY OF CORPORATE AFFAIRS OFFICE OF THE D G, CORPORATE AFFAIRS KOTA HOUSE, ANNEXE, NO.1 SHAJAHAN ROAD, NEW DELHI-110011. 4. THE MINISTRY OF CORPORATE AFFAIRS GOVERNMENT OF INDIA A WING, SHASTRI BHAWAN RAJENDRA PRASAD ROAD NEW DELHI-110001 REPRESENTED BY ITS PRINCIPAL SECRETARY 5. MR MADHUKAR G ANGUR AGED ABOUT 62 YEARS NO.1128, 21ST A CROSS 14TH MAIN, HSR 3RD SECTOR HSR LAYOUT, BDA COMPLEX BANGALORE-560012 6. MS PRIYANKA B S AGED ABOUT 30 YEARS, KUKKESRI, NO.128, 14TH MAIN - 3 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER 21ST A CROSS, HSR LAYOUT, 3RD SECTOR BANGALORE-560012. 7. ALLIANCE BUSINESS SCHOOL COMPANY INCORPORATED UNDER THE PROVISIONS OF SECTION 8 OF THE INDIAN COMPANIES ACT, 2013 (UNDER SECTION 25 OF THE OLD ACT, 1956) HAVING REGISTERED OFFICE AT NO.2 AND 3, 2ND CROSS, 34TH MAIN DOLLORS SCHEME, BTM 1ST STAGE BENGALURU-560 068. REP. BY ITS DIRECTOR ABHYA G. CHEBBI …RESPONDENTS (BY SRI. M.N. KUMAR, CGC FOR R1 TO R4; SMT. ASHIMA MANDLA, ADVOCATE FOR SRI. ABHIMANYU DEVAIAH, ADVOCATE FOR R5 AND R6; SRI. SRINIVAS RAGHAVAN, SENIOR ADVOCATE FOR SRI. CYRIL PRASAD PAIS AND SRI. VENUGOPAL, ADVOCATES FOR R7) THIS WP FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA, PRAYING TO ISSUE DIRECTION SETTING ASIDE THE IMPUGNED ORDER DATED 24.09.2019 BEARING NO. ROC(B)/DROC(VSJ)/ABS/2019/270/ PASSED BY THE R-1 REGISTRAR OF COMPANIES VIDE ANNEXURE-A. IN WP NO. 50303/2019 BETWEEN: 1. KRISHNAMOHAN RAMINENI S/O SHRI RAMINENI AGED ABOUT 60 YEARS, R/A NO.302, SDE SAI RESIDENCY PLOT NO.88, SRINAGAR COLONY, HYDERABAD-500073. ...PETITIONER (BY SRI. JAYAKUMAR S. PATIL, SENIOR ADVOCATE FOR SRI. MAHAMAD TAHIR .A, ADVOCATE) - 4 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER AND: 1. THE REGISTRAR OF COMPANIES KARNATAKA (MINISTRY OF CORPORATE AFFAIRS GOVERNMENT OF INDIA) E WING, 2ND FLOOR KENDRIYA SADAN, KORAMANGALA BANGALORE-560034. 2. THE REGIONAL DIRECTOR SOUTH EASTERN REGION (SER) MINISTRY OF CORPORATE AFFAIRS 3RD FLOOR, CORPORATE BHAVAN BANDLAGUDA, NAGOLE TATTIANNARAM VILLAGE HAYAT NAGAR MANDAL RANGA REDDY DISTRICT HYDERABAD-500068. 3. THE DIRECTOR GENERAL OF CORPORATE AFFAIRS GOVERNMENT OF INDIA MINISTRY OF CORPORATE AFFAIRS OFFICE OF THE D G, CORPORATE AFFAIRS KOTA HOUSE, ANNEXE, NO.1 SHAJAHAN ROAD, NEW DELHI-110011. 4. THE MINISTRY OF CORPORATE AFFAIRS GOVERNMENT OF INDIA A WING, SHASTRI BHAWAN RAJENDRA PRASAD ROAD NEW DELHI-110001 REPRESENTED BY ITS PRINCIPAL SECRETARY 5. MR MADHUKAR G ANGUR AGED ABOUT 62 YEARS NO.1128, 21ST A CROSS 14TH MAIN, HSR 3RD SECTOR HSR LAYOUT, BDA COMPLEX BANGALORE-560012 - 5 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER 6. MS PRIYANKA B S AGED ABOUT 30 YEARS, KUKKESRI, NO.128, 14TH MAIN 21ST A CROSS, HSR LAYOUT, 3RD SECTOR BANGALORE-560012. 7. ALLIANCE BUSINESS SCHOOL COMPANY INCORPORATED UNDER THE PROVISIONS OF SECTION 8 OF THE INDIAN COMPANIES ACT, 2013 (UNDER SECTION 25 OF THE OLD ACT, 1956) HAVING REGISTERED OFFICE AT NO.2 AND 3, 2ND CROSS, 32ND MAIN DOLLORS SCHEME, BTM 1ST STAGE BENGALURU-560 068. REP. BY ITS DIRECTOR ABHYA G. CHEBBI ...RESPONDENTS (BY SRI. M.N. KUMAR, CGC FOR R1 TO R4; SMT. ASHIMA MANDLA, ADVOCATE FOR SRI. H.K. SRIVASTHAVA, ADVOCATE FOR R5 AND R6; SRI. SRINIVAS RAGHAVAN, SENIOR ADVOCATE FOR SRI. CYRIL PRASAD PAIS AND SRI. VENUGOPAL .N, ADVOCATES, FOR R7; SRI. ABHIMANYU DEVAIAH, ADVOCATE FOR R5) THIS W.P. FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA, PRAYING TO SET ASIDE THE IMPUGNED ORDER DATED 24.09.2019 VIDE NO. ROC(B)/DROC(CSJ)/ABS/2019/2703 PASSED BY THE R-1 REGISTRAR OF COMPANIES VIDE ANNX-A. IN WP NO. 50322/2019 BETWEEN: 1. SMT. SHAILA CHEBBI GOVIND W/O SHRI G B CHEBBI AGED ABOUT 56 YEARS OCCUPATION DIRECTOR M/S ALLIANCE BUSINESS SCHOOL - 6 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER NO.100, 34TH MAIN, 2ND CROSS DOLLARS SCHEME, BTM 1 STAGE BANGALORE - 560068. 2. SMT MALA MADIKERI SRINIVAS GOUDA W/O DR SRINIVAS GOUDA AGED ABOUT 54 YEARS OCCUPATION DIRECTOR M/S ALLIANCE BUSINESS SCHOOL NO.100, 34TH MAIN, 2ND CROSS DOLLARS SCHEME, BTM 1 STAGE BANGALORE - 560068. ...PETITIONERS (BY SRI. M.S. SHYAM SUNDER, SENIOR ADVOCATE FOR SRI. VANDANA .P.L., ADVOCATE [NOC]) AND: 1. THE REGISTRAR OF COMPANIES KARNATAKA (MINISTRY OF CORPORATE AFFAIRS GOVERNMENT OF INDIA) E WING, 2ND FLOOR KENDRIYA SADAN, KORAMANGALA BANGALORE-560034. 2. THE REGIONAL DIRECTOR SOUTH EASTERN REGION (SER) MINISTRY OF CORPORATE AFFAIRS 3RD FLOOR, CORPORATE BHAVAN BANDLAGUDA, NAGOLE TATTIANNARAM VILLAGE HAYAT NAGAR MANDAL RANGA REDDY DISTRICT HYDERABAD-500068. 3. THE DIRECTOR GENERAL OF CORPORATE AFFAIRS GOVERNMENT OF INDIA MINISTRY OF CORPORATE AFFAIRS OFFICE OF THE D G, CORPORATE AFFAIRS - 7 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER KOTA HOUSE, ANNEXE, NO.1 SHAJAHAN ROAD, NEW DELHI-110011. 4. THE MINISTRY OF CORPORATE AFFAIRS GOVERNMENT OF INDIA A WING, SHASTRI BHAWAN RAJENDRA PRASAD ROAD NEW DELHI-110001 REPRESENTED BY ITS PRINCIPAL SECRETARY 5. MR MADHUKAR G ANGUR AGED ABOUT 62 YEARS NO.1128, 21ST A CROSS 14TH MAIN, HSR 3RD SECTOR HSR LAYOUT, BDA COMPLEX BANGALORE-560012 6. MS PRIYANKA B S AGED ABOUT 30 YEARS, KUKKESRI, NO.128, 14TH MAIN 21ST A CROSS, HSR LAYOUT, 3RD SECTOR BANGALORE-560012. ...RESPONDENTS (BY SRI. M.N. KUMAR, CGC FOR R1 TO R4; SMT. ASHIMA MANDLA, ADVOCATE FOR SRI. ABHIMANYU DEVAIAH, ADVOCATE FOR R5 AND R6 [NOC]; SRI. SRINIVAS RAGHAVAN, SENIOR ADVOCATE FOR SRI. CYRIL PRASAD PAIS AND SRI. VENUGOPAL .N ADVOCATES FOR R7) THIS W.P. IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA, PRAYING TO SET ASIDE THE IMPUGNED ORDER DATED 24.09.2019 BEARING NO. F.NO. ROC(B)/DRPC(VSJ)/ABS/2019/2702 PASSED BY THE R-1 REGISTRAR OF COMPANIES VIDE ANNX-A. - 8 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER IN WP NO. 3520/2022 BETWEEN: 1. ALLIANCE BUSINESS SCHOOL A COMPANY INCORPORATED UNDER THE PROVISIONS OF SEC. 8 OF THE COMPANIES ACT 2013 (UNDER SEC 25 OF OLD ACT 1956) HAVING ITS REGISTERED OFFICE AT NO.2 AND 3 2ND FLOOR, 32ND MAIN, DOLLARS SCHEME BTM 1ST STAGE, BANGALORE-560 068. REP BY ITS DIRECTOR SRI ABHAY G CHEBBI S/O G B CHEBBI AGED ABOUT 38 YEARS ...PETITIONER (BY SRI. SRINIVAS RAGHAVAN, SENIOR ADVOCATE FOR SRI. CYRIL PRASAD PAIS ADVOCATE) AND: 1. THE REGISTRAR OF COMPANIES KARNATAKA (MINISTRY OF CORPORATE AFFAIRS GOVERNMENT OF INDIA) E WING, 2ND FLOOR KENDRIYA SADAN, KORAMANGALA BANGALORE-560034. 2. THE REGIONAL DIRECTOR SOUTH EASTERN REGION (SER) MINISTRY OF CORPORATE AFFAIRS 3RD FLOOR, CORPORATE BHAVAN BANDLAGUDA, NAGOLE TATTIANNARAM VILLAGE HAYAT NAGAR MANDAL RANGA REDDY DISTRICT HYDERABAD-500068. 3. THE DIRECTOR GENERAL OF CORPORATE AFFAIRS GOVERNMENT OF INDIA - 9 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER MINISTRY OF CORPORATE AFFAIRS OFFICE OF THE D G, CORPORATE AFFAIRS KOTA HOUSE, ANNEXE, NO.1 SHAJAHAN ROAD, NEW DELHI-110011. 4. THE MINISTRY OF CORPORATE AFFAIRS GOVERNMENT OF INDIA A WING, SHASTRI BHAWAN RAJENDRA PRASAD ROAD NEW DELHI-110001 REPRESENTED BY ITS PRINCIPAL SECRETARY 5. MR MADHUKAR G ANGUR AGED ABOUT 62 YEARS NO.1128, 21ST A CROSS 14TH MAIN, HSR 3RD SECTOR HSR LAYOUT, BDA COMPLEX BANGALORE-560012 6. MS PRIYANKA B S AGED ABOUT 30 YEARS KUKKESRI, NO.128, 14TH MAIN 21ST A CROSS, 3RD SECTOR HSR LAYOUT, BDA COMPLEX BANGALORE-560012. 7. MR KRISHNA MOHAN RAMINENI S/O SRI RAMINENI AGED ABOUT 62 YEARS R/AT NO.302,SDE SAI RESIDENCY PLOT NO.88, SRINAGAR COLONY HYDERABAD -500 073 8. MR PRAKASH BUDOOR S/O B SIDDAPPA AGED ABOUT 41 YEARS, DIRECTOR M/S ALLIANCE BUSINESS SCHOOL DOLLARS SCHEME, BTM 1ST STAGE BANGALORE-560 068. - 10 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER 9. SRI ABHAY GOVIND CHEBBI S/O G B CHEBBI AGED ABOUT 38 YEARS, DIRECTOR M/S ALLIANCE BUSINESS SCHOOL NO.100, 34TH MAIN, 2ND CROSS DOLLARS SCHEME, BTM 1ST STAGE BANGALORE-560 068. 10. SMT SHILA CHEBBI GOVIND W/O G B CHEBBI AGED ABOUT 57 YEARS DIRECTOR M/S ALLIANCE BUSINESS SCHOOL NO.100, 34TH MAIN, 2ND CROSS DOLLARS SCHEME BTM 1ST STAGE, BANGALORE-560 068. 11. SMT MALA MADIKERI SRINIVAS GOUDA W/O DR SRINIVAS GOUDA AGED ABOUT 56 YEARS DIRECTOR M/S ALLIANCE BUSINESS SCHOOL NO.100, 34TH MAIN, 2ND CROSS DOLLARS SCHEME, BTM 1ST STAGE BANGALORE-560 068. ...RESPONDENTS (BY SMT. NAYANA TARA .B.G, ADVOCATE FOR R1 TO R4; SMT. ASHIMA MANDLA, ADVOCATE AND SRI. ABHIMANYU DEVAIAH, ADVOCATE FOR R5 AND R6 [VK RETURNED WITH OBJECTIONS]) THIS W.P. IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA, PRAYING TO QUASH THE IMPUGNED ORDER DATED 24.9.2019 ANNEXUE-A PASSED BY THE ROC IN F.NO.ROC(B)/DROC(VSJ)/ABS/2019/2703 ON THE FILE OF R1 AND ETC. THESE PETITION, COMING ON FOR FINAL HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE SACHIN SHANKAR MAGADUM - 11 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER ORAL ORDER In the above-captioned writ petitions, the petitioners have filed separate memos seeking permission of this Court to withdraw the petitions. 2. The said request for withdrawal is vehemently opposed by respondent Nos.5 and 6 in all the four matters. 3. This Court has heard the learned counsel appearing for respondent Nos.5 and 6 on their objections to the proposed withdrawal. Having regard to the submissions made and upon perusal of the records, this Court deems it appropriate to extract the contents of the memos filed by the petitioners. 4. Learned Senior Counsel appearing for the petitioners submits that the contents of the memos filed in all the four petitions are identical in substance. Accordingly, a common memo is taken on record and the averments therein are extracted hereunder: - 12 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER "The petitioners named above most respectfully submit as follows: 1. The present writ petition is filed for issuing an appropriate writ in the nature of certiorari or any other writ or direction setting aside the impugned order dated 24.09.2019 passed by the 1st respondent, Registrar of Companies, Karnataka, by which DIR-12 forms filed vide SRNs C79607040, C79606091, C79658084, G01073717, C79609616 and revised MGT-7 filed vide SRN G01528264, were held that the same are liable to be marked as defective, and for such other reliefs. 2. The Registrar of Companies in its statement of objections, at para 11, mentioned that if the petitioners wish to cure defects, they may do so by re-filing the forms afresh after removing the defects pointed out by the Respondent No.1, and the same if found in order, would be taken on record upon removal of management dispute tag against the Company. Subsequently the management dispute tag has been removed on 29.04.2023. 3. Without prejudice to the claims and contentions of the petitioner and the company and pursuant to resolutions of the board of directions and shareholders ratifying all actions in relation to which the Forms were filed, which the RoC held that, they are liable to be marked as defective by impugned order, the Company filed the Forms curing the alleged defects and pursuant to the correspondence with the ROC including its letter - 13 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER dated 12.02.2025 the Forms have been taken on record by the RoC and confirmed by it. 4. 4. In view of the above and adjudication of whether the Registrar of Companies was justified in passing the impugned order, holding that the Forms are liable to be marked as defective, has become unnecessary at this point of time, Hence the Petition may be disposed as having become unnecessary at this point of time, reserving liberty to the petitioner to approach this Hon'ble Court by filing a fresh writ petition on the same cause of action in the event of any act or omission by the ROC prejudicial to the Petitioner or company, in interest of justice and equity." 5. This Court has carefully perused the contents of the memo extracted hereinabove. A serious objection is raised by respondent Nos.5 and 6 opposing the withdrawal, contending that the petitioners, having secured the benefit of an interim order during the pendency of these petitions, cannot be permitted to withdraw the petitions with liberty to re-agitate the matter. In support of the said contention, reliance is placed on the judgment of the Hon’ble Apex Court in - 14 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER Abhimanyoo Ram vs. State of Uttar Pradesh and Another, reported in (2008) 17 SCC 73. 6. This Court, however, on a considered examination of the said contention and the ratio laid down in the aforesaid judgment, is of the view that the same has no application to the facts of the present case. It is not in dispute that the interim order granted by this Court, vide order dated 05.11.2019, was only a limited protective order directing respondent Nos.1 to 3 not to take any precipitative action till the next date of hearing, which came to be extended from time to time. The said interim order does not partake the character of a reasoned or final adjudication on the rights of the parties, nor does it confer any substantive or irreversible benefit upon the petitioners so as to non-suit them from seeking withdrawal. 7. This Court also takes note of the subsequent developments as indicated in the memo filed by the petitioners, particularly that the defects pointed out by the - 15 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER Registrar of Companies have been cured and the Forms in question have been taken on record by the Registrar of Companies, as evidenced from the correspondence including the letter dated 12.02.2025. In that view of the matter, the primary grievance raised in the writ petitions no longer survives for consideration and the adjudication of the validity of the impugned order has, for the present, become unnecessary. 8. In the aforesaid circumstances, and having regard to the fact that the interim order granted was only of a limited nature and not a detailed reasoned order, this Court is of the considered opinion that the petitioners cannot be denied the liberty to withdraw the petitions. Accordingly, in the light of the memos filed by the petitioners and the subsequent memos tendered on behalf of the Registrar of Companies dated 16.04.2025, the writ petitions are dismissed as withdrawn. - 16 - HC-KAR NC: 2026:KHC:19240 WP No. 50317 of 2019 C/W WP No. 50303 of 2019 WP No. 50322 of 2019 AND 1 OTHER However, liberty is reserved to the petitioners to assail any adverse order that may be passed in W.P. No.17360/2025, on its own merits and in accordance with law. It is further clarified that, in the event the petitioners are aggrieved by any findings or directions that may be recorded in the said pending writ petition, it is open to them to work out their remedies in the manner known to law. All contentions of the parties are kept open and are reserved to be urged in the pending proceedings in W.P. No.17360/2025. Sd/- (SACHIN SHANKAR MAGADUM) JUDGE NBM List No.: 1