'Written statement not filed as director was abroad, another's wife gave birth to child': SC condones delay with Rs 5 Lakhs cost

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Synopsis

The application for condonation of delay was filed by the appellant, for taking the written statement on record, which was within the condonable period of 90 days, the bench noted

The Supreme Court has recently allowed a plea for condonation of delay for filing a written statement with Rs five lakh cost on the ground that one of the directors of the applicant company was outside India and the other director’s wife had given birth to a child. 

A bench of Justices Sanjiv Khanna and S V N Bhatti allowed the appeal filed by Swipe Innovations Pte Ltd and directed for filing of the written statement, notorised on November 8, 2022.

The court directed for taking on record the written statement. 

Upon hearing the appeal, the bench said, "We are of the opinion that findings recorded in the impugned order dated 13.01.2023, dismissing the application for condonation of delay in filing the written statement is rather technical, in view of the facts of the case".

Following the order passed by the Court on August 11, 2023, the appellant, Swipe Innovations Pte Ltd had filed an affidavit, stating that the written statement was attested/notarized on August 11, 2022.

The application for condonation of delay was filed by the appellant, for taking the written statement on record, which was within the condonable period of 90 days, it noted. 

"The reason given in the application was that one of the directors of the appellant was outside India and the other director’s wife had given birth to a child. Looking at the controversy, we feel that the delay in filing the written statement should have been condoned on payment of costs," the bench said.

The court ordered that Rs five lakhs deposited by the appellant will be released to respondent/plaintiff towards payment of costs. 

"The written statement, as attested, will be filed within a period of 15 days from the date of this order. Advance copy of the written statement has already been furnished to the counsel for the respondents," the bench ordered.

Case Title: Swipe Innovations Pte Ltd Vs Drive India Enterprise Solutions Ltd & Anr