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TMI Blog1935 (12) TMI 17X X X X Extracts X X X X X X X X Extracts X X X X ..... inst being included in the list of contributories of the Peoples Bank of Northern India, Limited, in liquidation. Counsel says the facts are that in August 1931 the objector was invited by L. Harkishan Lal and the other directors of the Bank to become Managing Director of the Bank at a period when the Bank was in great difficulties, that the objector agreed to the proposition and agreed to serve w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... case and Budd's case. In these cases the Courts held that, where there had been some fraudulent transfer of shares when the company was in difficulties in order that the real holder should be relieved of liability, the real holder could be put on the register of members. None of these cases apply to the facts in this case at all. I asked counsel if he could produce to me one authority for the prop ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ant sections themselves in the Act, there is no doubt about the position. But in addition to this the objector is estopped from raising any objection now. He purchased the shares, signed an ordinary transfer deed in which it was said that he had paid Rs. 7,000 for the shares and that he was to get the dividends in future. As Managing Director of the company, i.e., as a properly qualified share-hol ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... opinion, the objector is clearly estopped from taking up the present position. He has held himself out throughout to everyone except perhaps to the Directors of the Board that he is a properly constituted shareholder and member of the company. He has slept over his rights, if indeed he ever had any. It is too late when the company is in liquidation for him now to raise the points. For these reas ..... X X X X Extracts X X X X X X X X Extracts X X X X
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