https://www.taxtmi.com/caselaws?id=97047 The court found that the directors' refusal to register the transfer of shares was improper and influenced by a mala fide motive. Despite the company's defense under Article 37 of its Articles of Association, the court determined that the directors must act bona fide and specify the grounds for refusal, which was not done in this case. The previous registration of shares in favor of the plaintiff further supported the argument that the refusal was arbitrary. Consequently, the court dismissed the appeal, awarded costs to the plaintiff, and emphasized the need for directors to exercise their discretion in registering transfers bona fide and not arbitrarily. en-us Fri, 16 Dec 1949 00:00:00 +0530 Fri, 13 Jan 2012 17:40:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=97047 The court found that the directors' refusal to register the transfer of shares was improper and influenced by a mala fide motive. Despite the company's defense under Article 37 of its Articles of Association, the court determined that the directors must act bona fide and specify the grounds for refusal, which was not done in this case. The previous registration of shares in favor of the plaintiff further supported the argument that the refusal was arbitrary. Consequently, the court dismissed the appeal, awarded costs to the plaintiff, and emphasized the need for directors to exercise their discretion in registering transfers bona fide and not arbitrarily. Case-Laws Companies Law Fri, 16 Dec 1949 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=97047