https://www.taxtmi.com/caselaws?id=98961 Share-transfer registration may be refused only where the company's articles confer that power and the stated conditions are met. Under Section 111(2) of the Companies Act, 1956, the words "or otherwise" do not create an independent power to reject a transfer beyond the articles. Where shares are fully paid, free from company lien, and the articles do not support refusal, the transferee is entitled to registration and rectification of the register. Allegations that the transferee is undesirable, including prior litigation against the company, do not justify refusal unless the articles grant and the board bona fide exercises relevant discretion. en-us Fri, 28 Jan 1972 00:00:00 +0530 Tue, 24 Jan 2012 16:57:59 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=98961 Share-transfer registration may be refused only where the company's articles confer that power and the stated conditions are met. Under Section 111(2) of the Companies Act, 1956, the words "or otherwise" do not create an independent power to reject a transfer beyond the articles. Where shares are fully paid, free from company lien, and the articles do not support refusal, the transferee is entitled to registration and rectification of the register. Allegations that the transferee is undesirable, including prior litigation against the company, do not justify refusal unless the articles grant and the board bona fide exercises relevant discretion. Case-Laws Companies Law Fri, 28 Jan 1972 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=98961