J. R. MUDHOLKAR Vs. M. E. R. MALAK

JUDGEMENT

(1.) THE applicant Mr. Mudholkar was sued in the Small Cause Court, Nagpur for the recovery of Rs. 37-14-0, unpaid balance on two shares of the Central India Press Ltd., for which he had applied on 29th June 1933. The plaintiff Khan Bahadur Malak is an assignee of the Company. The application for shares is Ex. P-1, and it states that Rs. 20, being the deposit of Rs. 10 per share, is sent. Para. 2 of the defendants' written statement also says: Rupees 10 were to be paid for each share with the application (which were duly paid) and Rs. 10 on allotment.

(2.) ONE of the two contentions in revision is that the allotment was not legal as these deposits were not made with the application but later on. This plea is based on a statement in the plaint (para. 4) that the defendant has paid Rs. 20 towards the deposit money on 5th August 1933, and that statement again seems to be based on Ex. P. 10 (extract from shareholders register) in which under column 1 (date) "5th August" appear and under column 6 (amount of deposit on application) "Rs. 20" appears. In view of the defendant's express statement in his pleading that Rs. 10 were duly paid with the application, and in view of the fact that the point was never raised in the lower Court I cannot allow it to be taken now. The date in the share-holders register may be that on which the entry was made and not necessarily that on which the money was actually paid.

(3.) IN the present case Article 58 prescribes: Any share-holder whose shares have been forfeited shall, notwithstanding the forfeiture, be liable to pay to the company, all calls, etc...and the Directors may enforce the payment thereof if they think fit.