TMI Blog1971 (8) TMI 125X X X X Extracts X X X X X X X X Extracts X X X X ..... voluntary liquidation, and the respondents were appointed liquidators. They issued notices, exhibits D-2 and P-5, on August 8,1957, calling upon the shareholders to pay the amounts still due from them on the shares standing in their names in the books of the company within ten days of the receipt of the notices. The amounts were not paid; and so suits were instituted for recovery of the same. The appellants contended, among other things, that the suits were barred by time. The learned munsif overruled the contention and decreed the suits; but in appeal the suits were held to be barred by limitation and the decrees reversed. The liquidators filed second appeals to this court, and the learned single judge has allowed the appeals. Hence these ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... up, every present and past member shall, subject to the provisions of this section, be liable to contribute to the assets of the company, to any amount sufficient for payment of its debts and liabilities and the costs, charges and expenses of the winding-up, and for the adjustment of the rights of the contributories among themselves, with the qualifications following (that is to say): ......" In Hansraj v. Dehra Dun Mussourie Electric Tramway Co. Ltd. [1933] 3 Comp. Cas. 207 ; AIR 1933 P.C. 63 , their Lordships of the Privy Council observed: "It was a case relating to money due on shares in the company which was in liquidation, the liability for which on a winding-up became a statutory liability under section 156, Companies Act, 1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lthough he may apply to the court for enforcement of the call, he is not bound to resort to that course, but can file a suit for recovery of the statutory debt, and that a suit for the recovery of the debt would be governed by article 120 of the Limitation Act, 1908. To the same effect is the ruling in Marulasiddanna v. Liquidators of Mysore Malleable Iron Steel Foundry Ltd. [1963] 33 Comp. Cas. 713 ; AIR 1963 Mys. 61. In In re East Bengal Sugar Mills [1941] 11 Comp. Cas. 169 ; AIR 1941 Cal. 143, it was held that a new liability arises for the first time upon the winding-up and that is unaffected by the fact that previous calls have been made and that the recovery of the same has become barred by time. See also Pure Milk Supply C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... her held that on a winding-up order the liability of a contributory to contribute to the assets to the extent mentioned in section 156 becomes an absolute liability which arises by reason of statute and not by reason of contract, and that the liability is not confined to the amount of calls already made before the winding-up, but extends in the case of a shareholder in a company limited by shares to unpaid amount due on the shares. In a voluntary winding-up, it is clear from section 212(1)( d ) of the Companies Act, 1913, that a liquidator can make a call without the sanction of the court, and the observation to the contrary in the judgment of the Bombay High Court is clearly wrong. So the liquidators were perfectly competent to make the ca ..... X X X X Extracts X X X X X X X X Extracts X X X X
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