Section 151 of the Companies Act 1985 prohibits the giving by a company of financial assistance for the purpose of the acquisition of its shares or for the purpose of reducing any liability incurred for the purpose of the acquisition. This penal section is notoriously broad and uncertain in its application. Judges may therefore be tempted to accept constructions which narrow its application at the expense of straining the statutory words. The Court of Appeal's recent decision in Chaston v. SWP Group plc [2002] EWCA Civ 1999, [2003] B.C.C. 140 has reaffirmed the importance of adherence to the statutory wording.