https://www.taxtmi.com/caselaws?id=96872 Fraudulent misfeasance was found where company funds were used in a fictitious scheme that routed money back to directors and defeated the company's right to call on shares, so that finding was upheld. On the financial assistance point, section 45 of the Companies Act, 1929 was held not to extend to money advanced to enable directors to subscribe for the company's own shares, because "purchase" in the prohibition was confined to acquisition of existing shares and did not include subscription for newly issued shares. The appeal therefore failed on the misfeasance finding, while the statutory prohibition was rejected as inapplicable to subscription. en-us Fri, 16 Jan 1942 00:00:00 +0630 Fri, 16 Feb 2018 11:13:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=96872 Fraudulent misfeasance was found where company funds were used in a fictitious scheme that routed money back to directors and defeated the company's right to call on shares, so that finding was upheld. On the financial assistance point, section 45 of the Companies Act, 1929 was held not to extend to money advanced to enable directors to subscribe for the company's own shares, because "purchase" in the prohibition was confined to acquisition of existing shares and did not include subscription for newly issued shares. The appeal therefore failed on the misfeasance finding, while the statutory prohibition was rejected as inapplicable to subscription. Case-Laws Companies Law Fri, 16 Jan 1942 00:00:00 +0630 https://www.taxtmi.com/caselaws?id=96872