Could u plz tell me: Whether a partner in a partnership firm can become a beneficial shareholder (i.e. on behalf of a firm) in a private limited company. If yes, the relevant section
Secondly, would the investment be reflected in books of the firm or the partner in individual capacity.
Thanking you for your co-operation and awaiting for your responses
10 November 2009
As per my understanding a partner in a partnership firm can not become a beneficial shareholder (i.e. on behalf of a firm) in a private limited company.
Reason being p'ship firm is not allowed to become member of company directly or indirectly through nominee.
CAclubindia
