9911796707
TMI Blog1997 (2) TMI 409X X X X Extracts X X X X X X X X Extracts X X X X ..... value of the shares as issued by the appellant-company. Facts are few but the counsel for the appellant raised technical objections while addressing arguments in the appeal. The complainants Rajni Goyal and others (six in number) residents of Sunam, sent 2,800 shares to opposite party No. 2 aforesaid for endorsement of fully paid-up shares on 9-7-1992. The details of shares are mentioned in the complaint. On 27-8-1992 the complainants submitted 25 transfer deeds for transferring the aforesaid 2,800 shares in their names. Out of the aforesaid shares, 700 shares stood transferred and sent back to the complainants, 200 shares were sent back to the complainants for comple-ting certain formalities. Since the remaining shares were not sent to t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ffecting endorsements, such shares were returned to the original share holders. Thus, there was no deficiency in rendering service in this respect. There is fallacy in this argument. No written statement by the appellant was filed as already observed above. Reply was only submitted by opposite party No. 2 by post wherein in para 9, of course, it was mentioned that without any clear instructions from the complainants to return the shares back to them, the same were sent to the persons (holders), whose addresses were on the record. Copy of the letter vide which 2,800 shares were sent was not produced to support this plea and no evidence in support of this plea, otherwise was produced. Share is a movable property, and the holder of the sha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er Ltd of Bombay v. Hansraj Singh Barak of Gurgaon, 1993 C.P.C. 815-HI. We have gone through the judgments referred to above. The ratio of the decisions cannot be applied to the case in hand. It may be observed that no dispute is being raised by the complainants with opposite parties regarding sale of any shares which are to be treated as goods. In the matter of transfer of shares, which had already been issued by the company to the share-holders, a separate transaction takes place between the shareholder and the transferor. The question of making endorsement thereon either with respect to paid up value or with respect to its transfer is merely a part of rendering service by the company which had floated the shares. The contention that n ..... X X X X Extracts X X X X X X X X Extracts X X X X
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