What are the provisions for issue and allotment of shares under Companies Act 2013?
According to Section 69(1) of the Companies Act, no allotment can be made by the company until the minimum Subscription has been received. In accordance with Section 69(3), the amount payable on each share should not be less than 5 per cent of the Nominal Value of the shares.
Which section of Companies Act, 2013 defines company?
Section 2(20)
Meaning of a Company However, Section 2(20) of the Companies Act, 2013, defines the term ‘Company’ as follows: “Company means a company incorporated under this Act or under any previous company law.”
What are the provisions of Companies Act, 2013 on declaration of dividend?
The provisions under the Companies Act, 2013 provides that no dividend shall be paid except through cash and where the dividend is payable in cash, it can be paid by way of cheque, warrant or by any electronic mode to the shareholder who is eligible to receive the dividend.
What are the provisions of Companies Act 1956 relating to foreign companies?
As per Section 591 of Companies Act 1956 foreign company means companies incorporated outside India which have established place of business within India where not less than fifty per cent , of the paid –up share capital (whether equity or preference or partly equity and partly preference) of a company incorporated …
What is allotment of shares and its provisions?
(1) Allotment of shares means the company allots (to give) shares to the general public. Allotment means the distribution of shares among the applicants. (2) When a public company wants to issue the shares to the general public, it has to issue prospectus to invite the general public to subscribe to its shares.
Is Companies Act, 2013 applicable to foreign companies?
As per Section 384 read with Section 77 of the Companies Act 2013 charges on properties which are created or acquired by any Foreign Companies whether situated in or outside India shall be registered with Registrar. Under Companies Act 2013 properties need not be situated in India.
What is the provision of Section 52 of the Companies Act 2013?
(1) Where a company issues shares at a premium, whether for cash or otherwise, a sum equal to the aggregate amount of the premium received on those shares shall be transferred to a “securities premium account” and the provisions of this Act relating to reduction of share capital of a company shall, except as provided …
What is Section 39 of Companies Act, 2013?
(1) No allotment of any securities of a company offered to the public for subscription shall be made unless the amount stated in the prospectus as the minimum amount has been subscribed and the sums payable on application for the amount so stated have been paid to and received by the company by cheque or other …