MOONS TECHNOLOGIES LTD. (FORMERLY KNOWN AS FINANCIAL TECHNOLOGIES INDIA LTD.) & ORS. versus UNION OF INDIA
The amalgamation order dated 12.02.2016, passed under Section 396, was ultra vires the Companies Act, 1956 and violative of Article 14, because the essentiality test and required compensation assessment under Section 396(3) were not fulfilled, rendering the order arbitrary and unreasonable.
Source excerpt
- Compulsory amalgamation
- Administrative orders
- Compensation to shareholders and creditors
- Natural justice