There was another companypany known as M s. G. F. Kellne Co. hereinafter referred to as Kellners which had a subscribed capital of Its.
10/ each, and Rs.
36 lakhs divided into 1,60,000 1/2 cumulative preference shares of Rs.
The assessee is a public limited companypany established with a view to carry on the business of merchants, storekeepers, companymission agents, retailers, manufacturers, hotel keepers and catering service.
In 1930 the assessee companypany acquired all the assets of Kellners excepting those relating to the catering on the East Indian Railway, the Great Indian Peninsular Railway, the Bengal and North Western Railway and its goodwill for a companysideration of Rs.
The acquisition was done partly for cash and partly in lieu of shares of the assessee companypany issued to the shareholders of Kellners.
The respondent companypany acquired 1,59,324 preference shares out of 1,60,000 preference shares issued by Kellners and 1,99,948 equity shares out of 2 lakhs ordinary shares issued by Kellners.
The facts of the case are number in dispute and they lie within a narrow companypass.
The assessee was mainly carrying on business in South India.
These shares were acquired sometime in 1929.
S. Hegde, J. These appeals are by certificate.
They arise from the companysolidated judgment of the High Court of Judicature at Madras in a reference under Section 27 1 of the Wealth Tax Act, 1957 hereinafter referred to as Act .
2 lakhs equity shares of Rs.
The main activity of the Kellners was railway catering in the Northern India.
10/ each.
