Examine the validity of these allotments in light of the provisions of the Companies Act, 2013...

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Examine the validity of these allotments in light of the provisions of the Companies Act, 2013 (i) Mars India Ltd. owed Sunil 1,000. On becoming this debt payable, the company offered Sunil 10 shares of 100 each in full settlement of the debt. The said shares were fully paid and were allotted to Sunil. (ii) The Board of Directors of Reckless Investments Ltd. has allotted shares to the investors of the company without issuing a prospectus with the concerned Registrar of Companies. Explain the remedy available to the investors in this regard. Examine the validity of these allotments in light of the provisions of the Companies Act, 2013 (i) Mars India Ltd. owed Sunil 1,000. On becoming this debt payable, the company offered Sunil 10 shares of 100 each in full settlement of the debt. The said shares were fully paid and were allotted to Sunil. (ii) The Board of Directors of Reckless Investments Ltd. has allotted shares to the investors of the company without issuing a prospectus with the concerned Registrar of Companies. Explain the remedy available to the investors in this regard.