COMPANIES.
(b) "Expert
No. 58 of 1911.
2051
includes engineer, valuer, accountant, and any other person whose profession gives authority to a statement made by him.
Allotment.
87. (1) No allotment shall be made of any share capital of a company offered to the public for subscription, unless the following conditions have been complied with, namely:
(a) the amount (if any) fixed by the memorandum or articles of association and named in the prospectus as the minimum subscription upon which the directors may proceed to allotment; or
(b) if no amount is so fixed and named, then the whole amount of the share capital so offered for subscription,
has been subscribed, and the sum payable on application for the amount so fixed and named, or for the whole amount offered for subscription, has been paid to and received by the company.
(2) The amount so fixed and named and the whole amount aforesaid shall be reckoned exclusively of any amount payable otherwise than in cash, and is in this Ordinance referred to as the minimum subscription.
(3) The amount payable on application on each share shall not be less than five per cent. of the nominal amount of the share.
(4) If the conditions aforesaid have not been complied with on the expiration of forty days after the first issue of the prospectus, all money received from applicants for shares shall be forthwith repaid to the applicants without interest, and, if any such money is not so repaid within forty-eight days after the issue of the prospectus, the directors of the company shall be jointly and severally liable to repay that money with interest at the rate of five per cent. from the expiration of the forty-eighth day;
Provided that a director shall not be liable if he proves that the loss of the money was not due to any misconduct or negligence on his part.
(5) Any condition requiring or binding any applicant for shares to waive compliance with any requirement of this section shall be void.
8 Edw. 7. c. 69, s. 85.