MOHAN LAL CHANDUMALL Vs. PUNJAB COMPANY LTD

JUDGEMENT

(1.) THIS is a petition under Sections 397, 393, 402 and 403 of the Companies Act, 1956 on behalf of 29 petitioners against the Punjab Company Limited Bhatinda.

(2.) BESIDES the Company, 11 other respondents have also been impleaded. The Punjab Company Limited Bhatinda which will hereinafter be refer-red to as the company was incorporated in the year 1941 under the Patiala Companies Act 1996 Kk. as a public company limited by shares and it is; therefore, a company within the meaning of Section 3 of the Companies Act 1956 with its registered office at Bhatinda.

(3.) THE nominal capital of the company is five lacs divided into five thousand shares of Rs. 100/-each. Its subscribed capital consists of 963 shares of Rs. 100/- each fully paid up; 659 shares on which Rs. 50/- per share have been paid. The amount of the paid-up capital therefore comes to Rs. 129,250/ -. The Company when floated had a large number of businesses but it has been in the main engaged in doing forward contract business in grains, in particular in rapeseeds and mustard seeds. The petitioners feel aggrieved with the mannet in which tbe affairs of the company have been conducted which according to them, is oppressive in relation to the non-trading members. They feel that the directors of the company are behaving in a manner prejudicial to the interests of the company.