Jack and Jill are the directors of J-J Sdn Bhd, a company which specialises in the manufacture and sale of perfumes and aromatic oils. The company is quite profi table and its products are in much demand.Recently, Snowyte, a member of the company, discovered the following:(a) Jack has set up a business in partnership with his brother, Tom. Their fi rm, J T Brothers, also deals in the manufacture and sale of perfumes and aromatic oils. Jack has been able to bring in substantial business to the fi rm. J-J Sdn Bhd has lost some of its business due to the competition from J T Brothers. (5 marks)(b) Last month, Jack and Jill bought a piece of land for J-J Sdn Bhd from Jenny, for RM 300,000. Snowyte complains that the members of the company were not notifi ed of the purchase. She has also learnt that Jenny is Jill’s sister-in-law. (5 marks)Snowyte wishes to know whether Jack and Jill have breached any of the provisions of the Companies Act 1965 in the above-mentioned situations and the consequences if such breach has in fact occurred.Required:Advise Snowyte.(Note: the mark allocation is shown against each situation) (10 marks)
