Institute of Chartered Financial Analysts of India (ICFAI) University 2008 C.A Accounts -PCC--08_ – 3 LAW, ETHICS AND COMMUNITION.doc - Question Paper

received from applicants for shares without interest:
1. Within 30 days of problem of prospectus
2. Within 60 days of problem of prospectus
3. Within 90 days of problem of prospectus
4. Within 120 days of problem of prospectus.
(ii) A small depositor means a depositor who has deposited in a financial year a sum
not exceeding:
1. Ten thousand rupees
2. Fifteen thousand rupees
3. Twenty thousand rupees
4. Fifty thousand rupees.
(iii) An extra ordinary general meeting may be convened by:
1. Board of Directors
2. Requisitionists
3. Company legal regulations Board/Tribunal
4. All the above. (3×1=3 Marks)

ques. 3

ABC Textiles Ltd. employed 20 full–time and five part-time employees who were drawing salary
of less than Rs.10,000 per month. After completing service of 28 days, in an accounting year,
10 full-time employees submitted their resignations and left the service of the company. The
Board of directors of this company decided not to provide the bonus to the employees, who
resigned, to the remaining full-time employees and to the part-time employees. Against the
decision, all the employees applied to the authorities for relief.
Decide, stating the provisions of the Payment of Bonus Act, 1956, whether the employees,
who resigned, remaining full-time employees and part-time employees will get relief. (5 Marks)

ques. 4

B issued a cheque for Rs.1,25,000 in favour of S. B had sufficient amount in his account with
the Bank. The cheque was not presented within reasonable time to the Bank for payment and
the Bank in the meantime, became insolvent.
Decide, under the provisions of the Negotiable Instrument Act, 1881 whether S can recover
the money from B. (5 Marks)

ques. 5

E was an employee of Tea Estate Ltd. The whole of the undertaking of Tea Estate Ltd. was
taken over by a new company - Asia Tea Estate Ltd. The services of E remained continuous in
new company. After serving for 1 year E met with an accident and became permanently
disabled. E applied to the new company for the payment of gratuity. The company refused to
pay gratuity on the ground that E has served only for a year in the company.
Examine the validity of the refusal of the directors in the light of the provisions of the Payment
of Gratuity Act, 1972. (5 Marks)

Earning:   Approval pending.