https://www.taxtmi.com/caselaws?id=282521 Liability under Section 235 of the Indian Companies Act, 1913 depends on definite pleadings and proof of misapplication, retention, misfeasance or breach of trust causing actual loss. The text explains that limitation could run from the later of the alleged misconduct or the first appointment of a liquidator, so an application filed within three years of liquidation was not barred. It also states that vague accounting discrepancies, unsupported valuation differences, and matters not specifically pleaded cannot found personal liability, and that bona fide discrepancies do not by themselves show mala fides. On the stated facts, the former directors were not made personally liable and the application failed. en-us Fri, 22 Sep 1961 00:00:00 +0530 Mon, 12 Aug 2019 11:14:42 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=282521 Liability under Section 235 of the Indian Companies Act, 1913 depends on definite pleadings and proof of misapplication, retention, misfeasance or breach of trust causing actual loss. The text explains that limitation could run from the later of the alleged misconduct or the first appointment of a liquidator, so an application filed within three years of liquidation was not barred. It also states that vague accounting discrepancies, unsupported valuation differences, and matters not specifically pleaded cannot found personal liability, and that bona fide discrepancies do not by themselves show mala fides. On the stated facts, the former directors were not made personally liable and the application failed. Case-Laws Companies Law Fri, 22 Sep 1961 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=282521