2007 (9) TMI 410

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.... point arises for consideration. Whether on the allegations made in the complaint an actionable cause has been disclosed ? 2. The complaint has been filed under section 205A(8) of the Companies Act, 1956, as it existed in the year 1988, the year in which the complaint was filed. 3. Gravement of the allegation is as averred in paragraph 3 of the complaint. The same reads as under : "3. Tho....

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....fact not disputed by learned counsel for the respondent, that the case of the prosecution against the accused persons is of not transferring the amount of dividend to special dividend account. 5. At the relevant point of time the requirement of law pertaining to transfer of amount of dividend to unpaid dividend account was as stipulated in sub-section (1) of section 205A of the Companies Act, 1....

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....ompany Limited/Company (Private) Limited'." 6. It would be relevant to note that with effect from 15-6-1988, by the Companies (Amendment) Act, 1988, legal provision was amended to read as under : "(1) Where, after the commencement of the Companies (Amendment) Act, 1974, a dividend has been declared by a company but has not been paid, or claimed, within forty-two days from the date of the dec....

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.... through post at the registered address of the shareholder who is entitled to payment thereof. 9. Perusal of section 205A(1) of the Companies Act as it existed prior to the amendment on 15-6-1988, reveals that warrant in respect of a dividend has to be posted to the shareholder within 42 days from the date of declaration of dividend. 10. The requirement of transfer of the unpaid dividend acc....