Need urgent help in law may 2013 suggested answer

Rohit (CA-Final) (1485 Points)

24 July 2013  

As per Munish Bhandari Sir Book, answer for both case is comapny is liable.

But as per ICAI suggested answer announced today, answer is 1. promoter liable     2. Company is liable.


I have doubt in case 1

I think Munish Bhandari Book is correct as it is mentioned that company has adopted the contract after incorporation so liability of promoter should come to an end.