Reconstructed Companies Act 1893

Whenever it was provided by any such compromise or arrangement as is hereinbefore mentioned entered into by any company incorporated by or under the provisions of any Act of the said colony that the members of the old company should accept shares in the new company every member of the old company shall without any application on his part be deemed to have become a member of the new company and to be the holder in the new company of the number of shares which by such compromise or arrangement he was required to accept with such liability in respect of such shares as by the compromise or arrangement was provided and his name shall be entered accordingly in the register of members of the new company, and any lien or charge given by him in favour of the old company upon or over shares therein shall be deemed to have been given in favour of the new company upon or over the shares therein stated in such register to be held by him.