https://www.taxtmi.com/caselaws?id=99993 Section 237 of the Companies Act, 1956 permits a court-directed investigation only where the materials disclose a prima facie case warranting judicial intervention in the interests of the company as a whole. On the facts discussed, alleged foreign exchange violations, non-resident shareholding, the 1976 raid, and asserted prejudice from rival business interests did not establish that threshold. The appointment of a foreign national as managing director was not shown to be unlawful when made, permission had been sought for non-resident participation, and no continuing violation was proved. Matters arising from the raid were already under enforcement or adjudication, and the allegation of business harm remained unproved. en-us Tue, 29 Jan 1980 00:00:00 +0530 Mon, 30 Jan 2012 18:06:19 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=99993 Section 237 of the Companies Act, 1956 permits a court-directed investigation only where the materials disclose a prima facie case warranting judicial intervention in the interests of the company as a whole. On the facts discussed, alleged foreign exchange violations, non-resident shareholding, the 1976 raid, and asserted prejudice from rival business interests did not establish that threshold. The appointment of a foreign national as managing director was not shown to be unlawful when made, permission had been sought for non-resident participation, and no continuing violation was proved. Matters arising from the raid were already under enforcement or adjudication, and the allegation of business harm remained unproved. Case-Laws Companies Law Tue, 29 Jan 1980 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=99993