FROM BURCHELLS,
14
2,
DATE 17th August, 1929.
LETTER TOSir John isley, K.C.M.G., K.C. SHEET NO.
C.B.
"Attorney-General could apply for an injunction but there
seems to be no actual decided case to this effect."
Counsel then deal with the results of obtaining an
injunction and it is on this point that I differ with them.
I do not think the Company could obtain leave to alter its
Memorandum of Association to enable it to undertake a totally
new and distinct business from that for which it was incorpora-
ted. The objects stated in its Memorandum were the carrying
on of the trade or business of sugar cleaning and refining,
the purchase and sale of sugar and sugar producing articles,
the making and dealing in lump and other kinds of sugar, and
manufacturers of and dealers in sugar. The objects of the
Company therefore are extremely limited and in none of the reported
cases have I been able to find a case in which a Company formed
for an exclusive purpose such as this one, is allowed to amend
its Memorandum to enable it to take up a totally different
business.
The other suggestion of counsel was that the Company
might reconstruct, but I do not think a reconstruction is what
counsel meant, but they must have meant the incorporation of a
new company and the transfer to it of the existing Company's
property and rights, but I am of opinion that if they sought
to get over the difficulty in this way the Government would be
No comments yet.
Private notes are available after approval.