| Case ID |
301ff7fa-c3d2-4311-b671-b41f1266aae0 |
| Body |
View case body. Login to View |
| Case Number |
Writ Petition No. 1467 of 1957 |
| Decision Date |
Jun 10, 1958 |
| Hearing Date |
|
| Decision |
The Lahore High Court held that the Undesirable Companies Act (X of 1958) was within the legislative competence of Parliament and did not violate the Constitution. The court found that the Act aimed to prevent the registration of companies engaged in Imdadi Schemes, which were deemed to be undesirable and potentially exploitative. The court emphasized that the prohibition on such companies was justified in the interest of morality and public order, as they fostered gambling tendencies among the public. The court also ruled that the definition of an undesirable company was appropriate and that the law provided sufficient grounds for winding up such companies. The decision reinforced the authority of Parliament to legislate on matters affecting companies with objects not confined to one Province, affirming that the Act did not infringe upon the fundamental rights guaranteed by the Constitution. |
| Summary |
In the landmark case involving the Undesirable Companies Act (X of 1958), the Lahore High Court addressed the legality of companies running Imdadi Schemes. This decision is crucial as it defines the legislative authority of Parliament regarding companies that operate with objectives extending beyond provincial jurisdiction. The court found that such companies, which engage in activities resembling lotteries, are undesirable due to their exploitative nature and tendency to promote gambling among the public. The ruling emphasizes the need for regulatory frameworks to protect citizens from fraudulent schemes while balancing the right to form associations. The implications of this case extend to the understanding of corporate regulations, compliance with constitutional provisions, and the enforcement of laws aimed at preventing financial exploitation. Keywords such as 'Undesirable Companies Act', 'Imdadi Schemes', 'Lahore High Court', and 'corporate legislation' are essential for SEO optimization, providing a comprehensive overview of the case's significance in legal discourse. |
| Court |
Lahore High Court
|
| Entities Involved |
Islamic Republic of Pakistan,
THE PROGRESS OF PAKISTAN Co., LTD.,
Registrar, Joint Stock Companies
|
| Judges |
SHABIR AHMAD,
B. Z. KAIKAUS
|
| Lawyers |
Faiyaz Ali, Attorney General,
M. Anwar, Assistant Advocate General
|
| Petitioners |
THE PROGRESS OF PAKISTAN Co., LTD.
|
| Respondents |
THE ISLAMIC REPUBLIC OF PAKISTAN,
REGISTRAR, JOINT STOCK COMPANIES, Karachi
|
| Citations |
1958 SLD 79,
1958 PLD 887
|
| Other Citations |
Not available
|
| Laws Involved |
Undesirable Companies Act (X of 1958),
Constitution of Pakistan,
Penal Code (XLV of 1860)
|
| Sections |
10,
5,
12,
1,
2,
3,
4,
5,
6,
7,
8,
9,
294-A
|