PIERCE LESLIE & CO. LTD. vs VIOLET OUCHTERLONY WAPSHAREAND OTHERS VICE VERSA

The Supreme Court held that the transaction involving the sale of assets by a company to its secretary was not fraudulent, as the shareholders, all of whom were sui juris and had business acumen, unanimously accepted the offer after legal advice. The court found that the old company was duly dissolved under Section 209H of the Companies Act, 1913, and the new company was the rightful owner of the properties. The suit filed by the shareholders was dismissed as it was not maintainable, given the lapse of time and the absence of any actionable fraud.