TUTORIAL COMPANY LAW:

Question 1

Anggun Sdn. Bhd. was established as a limited company by shares by two members consisting of Alice and Kimi. Alice has paid in full the price of the shares she holds, while Kimi has paid only half of the total price of the shares she holds. If Anggun's company is wound up and her assets are not enough to pay off the debt, are Alice and Kimi liable to settle the debt? Give statutory provisions and case authority.

Question 2

The creditors have agreed to hold a meeting with the Great Merit Company which is facing financial difficulties. During the meeting, a compromise scheme was agreed upon by a majority of 72% of the total value of creditors present and had voted. Is the agreed compromise scheme binding on all creditors and companies? Give statutory provisions and case authority.

Question 3

Nila Furniture & Co ('Nila') is a partnership business which supplies office furniture. Recently, Suria Bhd ('Suria') entered into a contract with Nila for the purchase of office furniture valued at RM9,000. The decision to award the contract to Nila was made three weeks ago at a meeting of the full board of directors of Suria. One of the directors of Suria, Chandran, is also a partner of Nila. Chandran did not disclose this fact to Suria, or its board. A further fact was that although Chandran was present at the board meeting, at which the decision to award the contract to Nila was made, he remained silent throughout the meeting and did not vote on the matter. Yesterday, Suria discovered that Chandran is a partner of Nila. It seeks your advice as to whether it may avoid the contract with Nila. Advise Suria Bhd.

Give statutory provisions and case authority.