M.L. PENDSE, J.:---Matushree Textiles Limited is a Public Limited Company incorporated under the Companies Act, 1956 (hereinafter referred to as the `Act) and the authorised share capital of the Company is Rs.1,50,00,000/- only divided into 15,00,000 equity shares of face value of Rs.10/- each. The subscribed capital is Rs.89,00,000/- divided into 8.90 Lakhs shares. The shares of the Company are listed on Bombay Stock Exchange and at the relevant time, the value quoted was Rs. 40/- per share. The 7th Annual General Meeting of the Company was held on September 30, 1989 for the year ending March 31, 1989 and consequently, the 8th Annual General Meeting was stuatutorily required to be held as per section 166 of the Act latest by December 31,1990. The meeting was not convened by the Company within the stipulated time. The 8th Annual General Meeting for the year ending March 31, 1990 was convened on September 30, 1991 by notice dated September 2, 1991. The notice to the shareholders was sent by post on September 7,1991 and under section 53(2) (b) (i) of the Act, the notice is deemed to have been effected at the expiration of forty eight hours after the letter is posted and acco