Amalgamation ‑ No order to be made by High Court for dissolution of transferor company unless official liquidator makes report to the effect that affairs of company have not been conducted in a manner prejudicial to interests of its members
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Requirement of official liquidator report before dissolution in amalgamation proceedings must be enforced by courts. A court must obtain the official liquidator report before dissolving a transferor company in an amalgamation; the second proviso to section 394(1) requires the High Court to secure a report on whether the company's affairs were conducted prejudicially to members. Regional Directors are instructed to notify courts of this procedural requirement in all amalgamation notices because some courts failed to seek the official liquidator's report.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Requirement of official liquidator report before dissolution in amalgamation proceedings must be enforced by courts.
A court must obtain the official liquidator report before dissolving a transferor company in an amalgamation; the second proviso to section 394(1) requires the High Court to secure a report on whether the company's affairs were conducted prejudicially to members. Regional Directors are instructed to notify courts of this procedural requirement in all amalgamation notices because some courts failed to seek the official liquidator's report.
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