Whether the section is applicable to subscriber to memorandum of association

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....the provisions of section 372 would be applicable to the subscription to the memorandum of association of a new company by an existing company through its nominees. This question has been carefully examined in this Department and they have been advised that where subscribers to the memorandum of association of a new company are an existing public company and/or its nominees, such subscription amou....

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....res is required in the case of subscribers to the memorandum. By subscribing to the memorandum of association of a company, the subscribers undertake to subscribe for the number of shares in that company written opposite to their names; and subscription has been held to mean taking or agreeing to take unissued shares for cash. In view of the legal position set out above, where company 'A' and/o....