Law: Companies Act, (VII of 1913)

Section: 2(2)

Companies Act (VII of 1913)--- ----S. 2(2)---Company is a distinct entity separate from share-holders and Directors and liability of company cannot be passed on to its Directors personally---While determining that the amount in question was due and payable by petitioner who otherwise being Managing Director had no personal liability to make such payment, . no opportunity was granted to him of being heard---Proceedings for recovery against petitioner were not sustainable. Mushtaq Raj for Petitioner. Nemo for Respondents. Date of hearing: 9th June, 1991. JUDGMENT The petitioner claims to be the Managing Director of Progressive Journalists Ltd. a company incorporated under the Companies Act, 1913. It appears that M/s. Associated Press of Pakistan respondent No.2 herein approached Tehsildar Lahore respondent No.1for the recovery of Rs.9023 from the petitioner as arrears of land revenue, This demand has been challenged by the petitioner by filing this Constitutional petition. I have heard the learned counsel for the petitioner. No one has entered appearance on behalf of the respondents. Relying on the certificate of incorporation, Annexure `A' to this petition it is contended by the…