L BISHAMBHAR NATH Vs. AGRA ELECTRIC STORE LTD

JUDGEMENT

(1.) This is a defendant's appeal in a suit by a liquidator of a private limited liability company for recovery of money for certain calls on shares which were not fully paid up.

(2.) The Agra Electric Stores Ltd., was a private limited liability company and the defendant was a signatory to the Memorandum of Association and he was a subscriber of one share of Rs. 2,000. On 10 November 1924 he paid a sum of Rs. 500. The balance of Rs. 1,500 he was called on to pay on allotment and on two calls made by the company; that is by 2 March, 1925, Rs. 1,500 ought to have been paid by the defendant-appellant on his share.

(3.) On 22 March, 1926 the directors of the company forfeited the appellant's share. Eventually, on 9 May 1928, Parshotam Das Agarwal was appointed a "voluntary liquidator of the company by a resolution of the company and on 3rd November 1928 certain powers are alleged to have been given to the liquidator. The defendant not having paid the money due, the liquidator instituted the present suit on 16 March 1929 for recovery of the sum of Rs. 1,500 and interest.