Section 8
Mode in which and extent to which objects of company may be altered
(1)
Subject to the provisions of this section, a company may, by special resolution, alter the provisions of its memorandum with respect to the objects of the company so far as may be required to enable it -
(a)
to carry on its business more economically or more efficiently;
(b)
to attain its main purpose by new or improved means;
(c)
to enlarge or change the local area of its operations;
(d)
to carry on some business which under existing circumstances may conveniently or advantageously be combined with the business of the company;
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Companies
(e)
to restrict or abandon any of the objects specified in the memorandum;
&I to sell or dispose of the whole or any part of the undertaking of the company; or
(a, to amalgamate with any other company or body of persons.
(2)
The alteration shall not take effect until, and except in so far as, it is confirmed on petition by the Court.
(3)
Before confirming the alteration, the Court must be satisfied that -
(a)
sufficient notice has been given to every holder of debentures of the company, and to any person or class of persons whose interests will, in the opinion of the Court, be affected by the alteration; and
(b)
with respect to every creditor who in the opinion of the
Court is entitled to object and who signifies his objection in a manner directed by the Court, either his consent to the alteration has been obtained or his debt or claim has been discharged or has been determined or has been secured to the satisfaction of the
Court:
Provided that the Court may, in the case of any person or class, for special reasons, dispense with the notice required by this section.
(4)
The Court may make an order confirming the alteration either wholly or in part, and on such terms and conditions as it thinks fit.
(5)
The Court shall, in exercising its discretion under this section, have regard to the rights and interests of the members of the company or of any class of them, as well as to the rights and interests of the creditors, and may, if it thinks fit, aqjourn the proceedings in order that an arrangement may be made to the satisfaction of the Court for the purchase of the interests of dissentient members, and may give such directions and make such orders as it may think expedient for facilitating or carrying into effect any such arrangement:
Companies
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Provided that no part of the capital of the company shall be expended in any such purchase.
(6)
An ofice copy of the order confirming the alteration, together with a printed copy of the memorandum as altered, shall, within 15
days from the date of the order, be delivered by the company to the Registrar and he shall register the copy so delivered and shall certify the registration under his hand, and the certificate shall be conclusive evidence that all the a requirements of this Act with respect to the alteration and the confirmation thereof have been complied with, and thenceforth the memorandum as so altered shall be the memorandum of the company. The Court may by order at any time extend the time for the delivery of documents to the Registrar under this section for such period as the Court may think proper.
(7)
If a company makes default in delivering to the Registrar any document required by this section to be delivered to him, the company is liable to a fine of $50 for every day during which the default continues.
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