RAYMOND SYNTHETICS LTD. AND ORS. vs UNION OF INDIA AND ORS.

The Supreme Court addressed the procedural requirements under Section 73 of the Companies Act, 1956, regarding the allotment of shares and the obligation to refund application money. The Court held that the company must adhere to the stipulated time limits for allotment and refund, and failure to do so renders the allotment void, triggering liability to repay application money with interest. The judgment clarified the interpretation of 'forthwith' in the context of refunds and established that administrative inconveniences cannot excuse non-compliance with statutory obligations.