MANAKKIL PAILY Vs. KAIMATHURUTHIL SEBASTIAN JOSEPH AND ORS.

JUDGEMENT

(1.) THE Official Liquidator in Company Petition No. 1 of 1117 of the Anjikaimal District Court is the Appellant. The appeal is from an order rejecting a petition filed by the Official Liquidator under Section 153, Companies Act, for permission to convene a meeting of the members of the company in liquidation for considering a proposal for reconstructing the company. The company in liquidation is the Gothuruthu Educational and Industrial Co. Ltd., which was incorporated under the Cochin Companies Act, 4 of 1080 in 1096. It was registered under Section 32 of the Act as a company started for promoting charity. The primary object of the company was to propagate and foster education, industry commerce and charity and for that purpose to collect funds by conducting kuries etc. It had no share capital. According to the memorandum of association every member was liable to the extent of Rs. 500 but the period of liability was limited to 24 years from the date of the starting of the company. It was also provided that the profits of the company should be utilised for advancing the educational, industrial and commercial interests of the members of the St. Sebastian's Church of Gothuruthi. The members of the company have no right to share in the profits or surplus assets of the company.

(2.) WE do not think that the reasons given by the Court below are sufficient for refusing permission to convene a meeting of the members of the company. Section 153, Companies Act, provides thus:

(3.) THE appeal is thus allowed. There will be no order as to costs.