§ Mr. Denzil DaviesI beg to move Amendment No. 42, in page 25, line 33, leave out
'any obligation to make good an'and insert—' the obligation arising from this section to make good any'.The amendment is designed to make it clear that in respect of shares with cumulative rights, the clause sets an obligation to make good an under-payment arising from the payment of a lower dividend, in accordance with the Sime Darby judgment. It is a technical amendment to clarify the effect of the clause on dividends arising from cumulative rights. Some doubts had been expressed and the amendment puts the matter beyond doubt.
§ Amendment agreed to.
§ Amendments made:
§
No. 43, in page 25, line 37, at end insert—
'(3A) In the case of shares carrying both non-cumulative and cumulative rights, subsections (2) and (3) above apply respectively according as dividend is payable by reference to the one category of rights or the other.'
§ No. 44, in page 25, line 38, leave out 'subsection (3)' and insert 'subsections (3) and (3A)'.—[Mr. Denzil Davies.]