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Companies Law - Highlights / Catch Notes

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Companies Law - Rights Issue - allegation of Right Issue is for a mala...

Companies Law
18-11-2021

Rights Issue - allegation of Right Issue is for a mala fide purpose and is the modus operandi to siphon further funds from the first Respondent Company - The inter-corporate loans were genuine and observe that if the debt due is not paid, there was a possibility that the Lenders could have taken coercive action for the recovery of their dues, the prayer sought for by the Respondents seeking Additional Capital by going for Rights Issue, is justified. - AT

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