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The Reports:
i) An auditor's report showing:
a) Profits or losses in each of the last FIVE years.
b) Rate of dividend during the last five years.
c) Assets and liabilities at the date of the last accounts.
d) Similar details with regard to subsidiary companies, if any.
ii) Whether the proceeds of the matter are to be used to buy a business, a report by named accountants on the profits or losses of the business for the last five years, and its assets and liabilities at the date of the last accounts.
iii) Whether the proceeds of the matter are to be used to buy shares in a subsidiary, a similar report as in (ii) above.
Effect of Registration: S.16(2) of the Act provides that "from the date of incorporation mentioned in the certificate of incorporation the subscribers to the memorandum of a
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Directors liability: This was fraudulent preference and the bank must repay the sums received. The directors' liability under their guarantee to the bank then revived. A paym
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