https://www.taxtmi.com/caselaws?id=96584 A donation-certificate scheme that offered interest-free loans and later cash bonuses through drawings was treated as a lottery because the benefit depended on chance rather than skill. The court held that the scheme's charitable or investment features did not change its character, since the lottery element was integral to the business and not merely incidental. As the arrangement fell within the mischief of section 294-A of the Indian Penal Code, the illegal feature destroyed the company's substratum, and compulsory winding up was justified. The appeal accordingly failed. en-us Wed, 09 Mar 1932 00:00:00 +0530 Mon, 09 Jan 2012 15:44:38 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=96584 A donation-certificate scheme that offered interest-free loans and later cash bonuses through drawings was treated as a lottery because the benefit depended on chance rather than skill. The court held that the scheme's charitable or investment features did not change its character, since the lottery element was integral to the business and not merely incidental. As the arrangement fell within the mischief of section 294-A of the Indian Penal Code, the illegal feature destroyed the company's substratum, and compulsory winding up was justified. The appeal accordingly failed. Case-Laws Companies Law Wed, 09 Mar 1932 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=96584