https://www.taxtmi.com/caselaws?id=199645 The Company Law Board (CLB) dismissed the petition under section 409 of the Companies Act, 1956, as not maintainable. The CLB found that there was no sufficient causal relationship between the change in share ownership and the potential change in the Board of Directors. It concluded that the petitioner's aim to prevent existing majority shareholders from exercising their rights did not align with the purpose of section 409, which aims to prevent takeovers by incoming shareholders. The CLB vacated all interim orders and emphasized that the section is not intended to restrict existing majority shareholders. en-us Fri, 13 Oct 2000 00:00:00 +0530 Thu, 08 Mar 2018 16:05:32 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=199645 The Company Law Board (CLB) dismissed the petition under section 409 of the Companies Act, 1956, as not maintainable. The CLB found that there was no sufficient causal relationship between the change in share ownership and the potential change in the Board of Directors. It concluded that the petitioner's aim to prevent existing majority shareholders from exercising their rights did not align with the purpose of section 409, which aims to prevent takeovers by incoming shareholders. The CLB vacated all interim orders and emphasized that the section is not intended to restrict existing majority shareholders. Case-Laws Companies Law Fri, 13 Oct 2000 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=199645