MAHARASHTRA TUBES LTD. vs STATE INDL.& INV.CORPN.OF MAHA.

The Supreme Court addressed the interplay between the State Finance Corporation Act, 1951 and the Sick Industrial Companies (Special Provisions) Act, 1985, specifically examining Sections 22 and 29 of the respective statutes. The Court held that the non-obstante clause in the Sick Industrial Companies Act prevails over that in the State Finance Corporation Act, thereby restricting the latter's applicability when a company is undergoing proceedings under the former. Consequently, the Court set aside the High Court's ruling that allowed proceedings under the 1951 Act despite the ongoing appeal under the 1985 Act, affirming the protection afforded to sick companies under Section 22(1) of the 1985 Act.