X, an employee of BG Ltd., is aggrieved by the decision of shifting of the registered office of the Company from the state of Uttar Pradesh to Haryana. He has filed a Public Interest Litigation (PIL) regarding the same,

The Public Interest Litigation (PIL) of X, an employee of BG Ltd. regarding shifting of registered office is not tenable. The facts are similar to the case of Bharat Commerce and Industries Ltd., Re, (1973) 43 Com Cases 162 (Cal.), where it was held that employees' union, which was a registered body and which represented quite a number of the employees at the registered office of the company, would have the legal standing to appear before the court and oppose the application on the ground that their interests are likely to be prejudicially affected if the resolution for shifting the registered office of the company from one State to another is confirmed by the court. However, it was held that the employees' union cannot oppose on the ground that there would be loss of revenue or unemployment in the State or that the meeting at which the special resolution was passed was itself not valid. So long as interest of none of the employee at the registered office is prejudiced by retrenchment or otherwise, the argument of X is not tenable.