( 1 ) THE petitioner joined the Machine Tools Factory, a concern under the management of the government of India, in 1952 as a clerk. In 1953, "hindustan Machine Tools, Ltd. " to be hereinafter referred to as the company was registered as a private limited company under the indian Companies Act, 1913. The Government of India made over the Machine Tools Factory to the company. Originally, there were seven shareholders in the company. They were :

(i) President of India, (ii) Secretary, Ministry of Production, (iii) Joint Secretary, Ministry of Production, (iv) Joint Secretary, Ministry of Finance, (v) Deputy Secretary, Ministry of Production, (vi) Under Secretary, Ministry of Production, and (vii) Oerlikon Machine Tools Works, Buchrle and Co. , Zurich (Switzerland ).

( 2 ) WE understand that the shares of Buchrle and Co. had been purchased by the President of India. At present, all the shares of the company are held in the name of the President of India and some of the Secretaries to the Government of India. It is not disputed that the entire share capital was subscribed from the consolidated funds of India. The company is managed by a board of directors. All the direc