https://www.taxtmi.com/caselaws?id=111780 A shareholder may maintain a derivative action where the alleged wrongdoers control the company and the company is unlikely to sue, so the shareholder was prima facie entitled to protect the company's interests. A transfer of the whole or substantially the whole of an undertaking without lawful consent in general meeting, proper notice, an explanatory statement and reliable minutes was prima facie contrary to section 293 of the Companies Act, 1956, so the sale was prima facie void. The form-of-contract rule, indoor management and bona fide purchase could not cure or protect a transaction that was itself beyond statutory power, so none of those defences defeated the challenge. en-us Fri, 25 Apr 2008 00:00:00 +0530 Mon, 08 Dec 2014 18:04:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=111780 A shareholder may maintain a derivative action where the alleged wrongdoers control the company and the company is unlikely to sue, so the shareholder was prima facie entitled to protect the company's interests. A transfer of the whole or substantially the whole of an undertaking without lawful consent in general meeting, proper notice, an explanatory statement and reliable minutes was prima facie contrary to section 293 of the Companies Act, 1956, so the sale was prima facie void. The form-of-contract rule, indoor management and bona fide purchase could not cure or protect a transaction that was itself beyond statutory power, so none of those defences defeated the challenge. Case-Laws Companies Law Fri, 25 Apr 2008 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=111780