1952 (9) TMI 25

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....its managing agents, the Indian Trades and Investments Ltd. This fourth accused appears to have had the controlling interest in the managing agency because out of the ten shares of the managing agency concern, nine belong to his wife, for whom he acts, and one belongs to this accused as pointed out by Mack J. in his order in O.P. No. 1028 of 1951. This accused has also given his address as 310-311 Lingi Chetti Street to the Assistant Registrar of Joint Stock Companies and this is the address of the managing agency concern, the Indian Trades and Investments Ltd., also. In these circumstances on account of the internecine quarrels which seem to have dogged the footpath of this firm from the beginning the company laid its last balance-sheet....

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..... The learned Magistrate should have held on a construction of sections 76 and 131 that they have reference that the mandatory nature of the sections referred to the annual balance-sheet and annual meeting. The learned Magistrate ignored the constitution of the company as embodies in the articles of association of the company with supplementary provisions under the Indian Companies Act, wherever the Act was permissive and erred in holding that two different meetings were contemplated under sections 76 and 135 of the Indian Companies Act." This contention, that no offence has been made out inasmuch as no general body meeting was held within the period prescribed and therefore no question of placing a balance-sheet arose and that the charg....

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....on 131(1) regulates the laying of a balance-sheet. This balance-sheet it is stated should be laid before the company in a general meeting. Section 133 lays down that if any default is made in laying before the company or in issuing a balance-sheet and profit and loss account.......as required by section 131 or if any balance-sheet and profit and loss account is issued.........which does not comply with the requirements laid down by and under section 131, section 132, section 132-A.........the company and every officer of the company who is knowingly and wilfully a party to the default shall be punishable with fine which may extend to five hundred rupees. Thus, two distinct offences are created, viz., a distinct offence for not holding a gen....