LL.B. (Three Years) Sem 3 Company Law May 2012 Question Paper - Mumbai University | munotes

Questions asked in this paper

1. Q.1 Answer in not more than two sentences 20 Marks

1. (a) Point out any two distinctions between a public company and a private company.
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2. (b) What do you mean by lien on shares?
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3. (c) What is meant by dividend under Companies Act, 1956?
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4. (d) Who is small depositor?
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5. (e) State any two requisites of a valid meeting.
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6. (f) What is fixed and floating charge?
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7. (g) Point out any two distinctions between a share warrant and a share certificate.
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8. (h) What is capital Account Transaction under FEMA Act, 1999?
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9. (i) What is import under Foreign Exchange Management Act, 1999?
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10. (j) What is prospectus under the Companies Act, 1956?
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2. Q.2 Write short notes on any four of the following 20 Marks

1. (a) Holding and subsidiary company.
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2. (b) Doctrine of Constructive Notice.
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3. (c) Conversion of a Private Company to a Public Company.
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4. (d) Adjudicatory authority under FEMA, 1999.
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5. (e) Objective clause in the Memorandum of Association.
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6. (f) Forfeiture of shares.
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3. Q.3 Answer any two of the following 12 Marks

1. (a) 'H' was appointed as a managing director of a ABC Company on the condition that he shall not at any time while he holds office of a Managing director or afterwards solicit or entice away the customers of the company. His appointment was determined under an agreement. Shortly afterwards he opened a business in the name of XYZ Company which solicited the ABC's Customers.
   • (i) Is there any breach of Contract?
   • (ii) On what grounds can doctrine of lifting the corporate veil be applied?
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2. (b) Company A lent money to company B on a mortgage of its assets. The procedure laid down in the Articles for such transactions were not complied with.
   • (i) Is the mortgage binding between Compony A and B?
   • (ii) Will the exception to the doctrine of Indoor management apply in this case?
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3. (c) A private company has only two shareholders who are also the directors with equal rights of management and voting powers. The company has made large profits, but there is a complete deadlock in the management of the company. One of the shareholder applied for the winding up of the company.
   • (i) Can the Tribunal order the winding up of company?
   • (ii) State the grounds on which the Tribunal can order winding up of the company.
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4. Q.4 Answer any four of the following 48 Marks

1. (a) What are the advantages of incorporation of a company? Discuss it in detail with the help of case laws.
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2. (b) What are the compulsory clauses in the Memorandum of Association? In what mode and to what extend can a company alter these clauses?
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3. (c) Discuss about the powers and duties of a director of a company.
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4. (d) Explain the Rule in Foss V. Harbottle and also state the exceptions to it with the help of case laws.
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5. (e) What is prospectus? What are the remedies available for Mis-statement in prospectus?
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6. (f) In what circumstances may a company be wound up voluntarily and what are the immediate consequences of it?
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