Sarkar, J. - (1.) The question in this appeal is, what is the meaning to be ascribed to the word "allotment' occurring in S. 75(1) of the Companies Act, 1956 That section requires a company to file a return of the allotment of its shares with the Registrar within a month of the making of the allotment. The appellant who has been accepted as a shareholder in the respondent Company for the purposes of the present proceedings complained that the Company had not filed the return required by that section, and, therefore, moved the High Court at Calcutta under S. 614 of the Act for an order requiring it to do so.
(2.) The shares with which this case is concerned had been forfeited by the Company under its articles. A reference to some of these articles is necessary before we proceed further. Articles 21 of the Articles of Association of the Company authorised its Committee to expel or suspend a member in certain events. The present is not a case involving an exercise of power under this article. Articles 22, 24 and 27 are in these terms: Article 22:"Any member who has been declared a defaulter by reason of his failure to fulfil any engagement between himself and any other member or members and who fails to fulfil such engagement within six months from the date upon which he has been so declared defaulter shall at the expiration of such period of six calendar months automatically cease to be a member." Article 24:"Upon any member ceasing to be a member under the provisions of Art. 22 hereof and upon any resolution being passed by the Committee expelling any member under the provisions of Art. 21 hereof or upon any member being adjudicated insolvent the share held by such member shall ipso facto be forfeited." Article 27:"Any share so forfeited shall be deemed to be the property of the Association, and the Committee shall sell, re-allot and otherwise dispose of the same in such manner to the best advantage for the satisfaction of all debts which may then be due and owing either to the Association or any of its members arising out of transactions or dealings in stocks and shares."
(3.) The appellant's contention is that the Company from time to time forfeited various shares under these articles and it appeared from its balance sheet that seventy of such forfeited shares had been re-issued at a nominal face value of Rs. 1,000/- but no return of such re-issue of the forfeited shares had been filed by the Company. The Company in its affidavit in answer to the petition admitted these facts. It was also said that these forfeited shares had been issued for much large sums but nothing turns on that in this case.;