https://www.taxtmi.com/caselaws?id=113106 A petition for oppression and mismanagement under the Companies Act, 1956 may be tested first on maintainability, because section 399(1) fixes the statutory threshold to invoke sections 397 and 398 and that jurisdictional question can be decided before the merits. On the admitted facts, the petitioners had fallen below the required shareholding and did not otherwise meet the minimum membership criteria, so the statutory qualification to apply was absent. The dispute arising from the shareholders' agreement and alleged non-payment of consideration did not override the mandatory threshold. The company petition was therefore dismissed and the threshold objection succeeded. en-us Mon, 19 Jul 2010 00:00:00 +0530 Fri, 15 Dec 2017 15:14:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=113106 A petition for oppression and mismanagement under the Companies Act, 1956 may be tested first on maintainability, because section 399(1) fixes the statutory threshold to invoke sections 397 and 398 and that jurisdictional question can be decided before the merits. On the admitted facts, the petitioners had fallen below the required shareholding and did not otherwise meet the minimum membership criteria, so the statutory qualification to apply was absent. The dispute arising from the shareholders' agreement and alleged non-payment of consideration did not override the mandatory threshold. The company petition was therefore dismissed and the threshold objection succeeded. Case-Laws Companies Law Mon, 19 Jul 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=113106