2004 (12) TMI 402

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..... JUDGMENT 1. This is a petition filed under section 482 of the Code of Criminal Procedure, 1973, to quash the proceedings in C.C. No. 26 of 1999, on the file of the special Judge for Economic Offences, Hyderabad, against the petitioners for the offences under section 73(2B) of the Companies Act, 1956, for failure to comply with the provisions of sub-section (2) thereof. 2. It is not disp....

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....such, the company ought to have refunded the share application of Rs. 1,000 and Rs. 2,000 to them. Hence, on 8-7-1998, the first respondent issued a show-cause notice to the petitioners to show cause why action should not be initiated under section 73(2B) of the Companies Act, 1956. As the petitioners did not respond to the said notice, the petitioners were prosecuted for the alleged offences. Que....

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....ies Act the subscribers can only make a complaint to the stock exchange where they have subscribed the equity shares and in turn, the stock exchange informs the same to the Registrar of Companies-first respondent-who can initiate the prosecution for violations. In the present case on hand, the offence committed by the petitioners had come to knowledge of the first respondent-complainant for the fi....