1941 (11) TMI 16 - HC - Companies Law

Summary

The High Court of Madras dismissed the petition regarding a loan sanctioned to a director in contravention of the Companies Act. The Court found that although there was a violation of the Act, it was not necessary to intervene as the loan had been repaid and no fresh breach had occurred. The Court also noted that the Registrar of Joint Stock Companies should have taken action. The City Magistrate's acquittal of the accused without hearing the complainant's evidence was criticized, but the petitions were ultimately dismissed.