[Resolved]  City Limouzines — stopped making payments

May I request every invester to write to the Chairman of meeting and the managing Director individually through Speed Post or RPAD. Sending through email ID are of no use and the same is bouncing back.

Speed Post

Date:[protected]



To,

1. V N Associates
Mumbai – 24
Trough email [protected]@gmail.com
[protected]@yahoo.co.in

2. Managing Directors
City Limouzines(I) Ltd and City Realcom Ltd
Mumbai


Sub: Company Application 933/2009 on the file of the Hon’ble High Court of Judicatureat Bombay – Notice convening Meeting of the unsecured Creditors of City Limouzines (India) Ltd – Regarding.

Sir,

I, K Perumal, Advocate residing at No 35, 2nd Cross Street,Padmavathy Nagar, Selaiyur Post, Chennai -73, issue this notice to you as under.

1 I made some investments in the company and getting returns every month and in that due to some mismanagement the company stopped making payments and the post dated cheques issued by the company started bouncing for want of sufficient funds in the company accounts. I state that it is only a fraud committed at the higher level and nothing else.

2. I state that on telephone, I was been promised that the company would resume and I will continue to get my returns as promised by the company, but suddenly to my shock and surprise, I received a subject notice from your office.

3. I state that I had gone through the notice and though it is dated[protected], the same was posted only on[protected] for the meeting to be held on[protected]. It is a clear violation of Rule 73 of The Companies (Court) Rules 1959. The notice ought to have been sent before 21 days. And hence in any case I will not get any reservation in train or in any other mode to reach Mumbai and Vote. I strongly doubts that it is also an another attempt on behalf of the company to prevent maximum creditors from Voting. This idea is totally illegal and not permissible in Law. The procedure envisaged in the Company (Court) Rules is mandatory and hence, in any case meeting if held on[protected] will be not valid in law.

4. I state that the explanatory statement as given in the notice u/s 393 of companies Act, does not show any valid reason for proposing and bringing such agreement. At Sl No 7, it merely states that the company was facing an acute financial crisis mainly due to the economic crunch and global meltdown and interference of central and state agencies and suffering serious damages. Due to this incident the company was forced to halt certain activity. Further with out mentioning any incident or narration, the matter starts as, the above incidents had affected the company very badly and created major financial difficulties for the company. Further it goes to say that the company faces significant capital constraint and relatively heavy interest on account of highly leveraged capital structure. The above reason stated cannot be believed and it is not genuine.

5. My doubt further increases manifold for the simple reason that at Sl No. 11, the share holdings of the directors of the applicant company is left blank even after pointing out on many occasions.

6. I state that in case of many other creditors the address given on the envelope shows that there is no relevance to the name and address mentioned. It is a clear indication that the accounts are also not maintained properly. Further more now in another envelope there is no file No. mentioned. The dealing seems to be so casual.

7. I had also had also invested in the company City RealCom and there is no notice received till date. Further more as on date I received only two notices and where as myself and his family members had invested in many files.


8. I bring it to your knowledge that the complete scheme is silent with respect to the investment in Combo Offer (City Limouzines and City RealCom with Co-op Society).

9. I state that the Scheme of Arrangement as proposed at Part B, has no balance between the company and its creditors. I here by propose the modification of the scheme as follows.

a. Sl No 1 to 7 to be totally removed and in that place the following may be substituted.

b. The amount received from the creditors under the respective schemes and arrangements is to be repaid under the present scheme of arrangement. The creditors who had advanced money to the company shall be repaid in one lump sum as per the cash receipt issued with out keeping in mind of the returns paid to them from the date of advancement to till date. Alternatively the company may chose to return the money in installment together with 40% interest on reducing balance basis. Upon payments being made as stated herein above, the parties shall cease to be the creditors of the Applicant Company. (the rate of interest may be negotiated to balance both company and its creditors).
I strongly believe that this meeting is not intended to be conducted in a fair and free manner. It is worth to point out that on the one side in the Notice that the proxies to be used in prescribed form and in the other side the notices are not sent and received for all accounts individually. Further more it is stated in the Notice that the proxies are to be deposited on[protected] at 11:30 AM at the Registered Office of the Company and in the other hand in the proxy form Note 1, it is mentioned that the same to be deposited at place of meeting. I bonafidely and strongly believe that the place for convening the meeting is very small and the same is inadequate to accommodate people of full strength.

10. I am to bring it to your notice and knowledge, that yours and the Company email ID may be filled and flooded. Kindly take steps to clear them off to receive further mails.

I hereby call upon you to kindly make arrangement for the above stated modification in then proposed scheme , failing which I would be constrained to file a petition for winding up of the company and further takeup the case for oppression and mismanagement purely at the cost of the company and its directors responsible.


Yours Truly,



K.PERUMAL