T.L. Geotechnics Pvt. Ltd. vs Dolphin Offshore Enterprises (India) ...

The Supreme Court held that the condition imposed by the Division Bench of the Bombay High Court requiring the Appellant to furnish security for the withdrawal of Rs. 70 lakhs was unwarranted, as the amount represented an admitted liability by the Respondent Company. The Court restored the order of the Company Judge dated 9.12.98, allowing the Appellant to withdraw the amount without the need for security. This decision emphasizes the principle that security should not be required for amounts that are undisputed and acknowledged by the parties.