https://www.taxtmi.com/caselaws?id=99131 The court had jurisdiction to sanction a scheme of arrangement between a company and its ordinary shareholders without involving the preference shareholders, as the preference shareholders had no further rights due to being fully paid back. The court ruled that the scheme did not constitute a reduction of share capital and directed the company to secure the Central Government's excess payment claim. It also restricted the directors from dealing with unissued ordinary shares without court approval and ordered the amendment of the memorandum and articles of association to reflect the new capital structure. The appeal was allowed, and parties were to bear their own costs. en-us Tue, 12 Mar 1974 00:00:00 +0530 Wed, 25 Jan 2012 12:42:38 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=99131 The court had jurisdiction to sanction a scheme of arrangement between a company and its ordinary shareholders without involving the preference shareholders, as the preference shareholders had no further rights due to being fully paid back. The court ruled that the scheme did not constitute a reduction of share capital and directed the company to secure the Central Government's excess payment claim. It also restricted the directors from dealing with unissued ordinary shares without court approval and ordered the amendment of the memorandum and articles of association to reflect the new capital structure. The appeal was allowed, and parties were to bear their own costs. Case-Laws Companies Law Tue, 12 Mar 1974 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=99131