1932 (2) TMI 19

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....931, Messrs. Stuart, Smith and Allan, Chartered Accountants, who had been appointed scrutineers by the court to assist the Chairman of a statutory meeting of creditors held under section 153 of the Indian Companies Act (VII of 1913), filed a petition for directions as to the validity of certain proxies which had been used at the statutory meeting. My learned brother Das, J., heard the petition ....

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....tors at such a meeting has an important bearing upon the future of the company, and the interests of those connected with it; it may in effect determine whether the company is to continue as a business undertaking or not. If the votes duly cast in favour of the scheme are less than the statutory majority prescribed under section 153 (2), the result will be that the scheme of arrangement cannot be ....

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....nt" within clause 13 of the Letters Patent, and as such was appealable: [See Levy Brothers and Knowles, Ltd. v. Subodh Kumar Day (1031.0.659; 31C.W.N. 894; A.I.R. 1927 Cal. 689)]. It is necessary, therefore, to consider the case on the merits, and in my opinion the appeals should be allowed, and the order of Das, J., set aside. The petition appears to me to be wholly misconceived. The function of ....

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....Chairman of the meeting has given his decision as to the admissibility of the proxies tendered at the meeting, and his decision has been impugned and duly brought before the court by way of revision, the court ought not to consider or determine whether any proxy was valid or not. In my opinion, the Court was not justified in embarking upon a consideration of the matters raised in the petition for ....