Bench:
J. Chelameswar, Abhay Manohar Sapre
Issue:
Whether MGG committed a breach of contract?
Facts:
- Messer Griesham GmbH(MGG) was a German company.
- Shareholders of Goyal Gases Ltd (GGL) in India entered into sharepurchase agreement with that German company.
- MGG took 49% shares of GGL.
- MGG took another company BOCL's 75k shares, despite GGL's protest.
- Then, MGG took those shares under the name of MHL, which was its subsidiary.
- BOCL filed a suit that MGG has nulified the contract.
Appellant's contentions:
MGG said that BOCL wanted to borrow money from a bank &MGG wanted to be a guarantor on those shares.
Respondent's contentions:
GGL wanted MGG to not take BOCL's shares on its own.
Final judgement:
- The first suit between MGG &GGL is resolved by themselves.
- And the second suit by BOCL against MGG & GGL, showed that MGG didn’t obtain share certificates from BOCL, but it was given to MHL.
- Hence, appeal is dismissed.
