https://www.taxtmi.com/caselaws?id=96632 A bond and certificate scheme was analysed as being outside the company's memorandum because the fund could be raised only in the prescribed manner, and the lottery-based machinery used for the bonds did not fall within those powers. The scheme was also unlawful because it necessarily involved a lottery without Government authority, attracting the statutory bar on such arrangements. Contributors were not treated as in pari delicto to the extent the legislation protected them, so recovery depended on how far the money had been applied. Amounts already paid out in prizes, loans, or valid charitable allocation were not recoverable; only the remaining identifiable balance was available for proportionate restitution after deductions. en-us Tue, 19 Dec 1933 00:00:00 +0530 Mon, 09 Jan 2012 18:39:04 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=96632 A bond and certificate scheme was analysed as being outside the company's memorandum because the fund could be raised only in the prescribed manner, and the lottery-based machinery used for the bonds did not fall within those powers. The scheme was also unlawful because it necessarily involved a lottery without Government authority, attracting the statutory bar on such arrangements. Contributors were not treated as in pari delicto to the extent the legislation protected them, so recovery depended on how far the money had been applied. Amounts already paid out in prizes, loans, or valid charitable allocation were not recoverable; only the remaining identifiable balance was available for proportionate restitution after deductions. Case-Laws Companies Law Tue, 19 Dec 1933 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=96632