U.P.State Industrial Dev.Corpn. Ltd vs Monsanto Mfg. (P) Ltd. & Anr

The Supreme Court upheld the High Court's decision that a mere change in shareholders or directors of a company does not constitute a transfer of interest under Clause 4(h) of the agreement for license and Clause 3(p) of the lease deed. The Court clarified that the legal entity of the company remains unchanged despite internal changes in ownership, thus the demand for transfer levy by the U.P. State Industrial Development Corporation was not justified. Consequently, the appeals were dismissed, affirming the High Court's ruling in favor of the respondents-Companies.