Court Rules Against Solely Prosecuting Company Secretary in Amalgamation Case, Citing Abuse of Legal Process.

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....Approval of scheme of amalgamation - Application of the "Alter Ego" Principle - Violation of Section 233 of the Companies Act, 2013 - requirement of holding at least ninety percent of the total numbers of shares - The complainant (opposite party) argued that the petitioner made a false declaration regarding the approval of the amalgamation scheme, misleading the authorities by stating that the scheme was approved by the requisite majority of members, which did not constitute 90% of total members but rather those present and voting. - The High Court hold that by targeting the petitioner (the Company Secretary) alone, without implicating the corporation or other responsible individuals, the prosecution is deemed to be fundamentally flawed and.........