Increase in authorised capital

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CA Shruti kuchhal (Querist)
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13 June 2014 Dear All,

I have to increase the authorised share capital of the company from Rs. 1.00 Lacs to Rs. 500.00 Lacs can any guide me for the procedure and expenses to be incurred for the same under Companies Act 2013
Waiting for an early response

Ankur Garg

Ankur Garg (Expert)
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13 June 2014
The procedure for increase in authorized capital under Companies act, 2013 is as follows:

1. A limited Company can alter it Authorized capital if AOA permits to alter (Section 61(1)(a) of The Companies Act, 2013)

2. The Company has to alter its capital clause in MOA

3. A Company can alter its MOA by passing a special resolution (Section 13(1) of The Companies Act, 2013)

4. The special resolution passed in this regard shall be registered with ROC by filing eForm MGT 14

5. Company shall give notice to ROC in eForm SH 7 within 30 Days of Increase of authorized share capital (proviso to Section 64(1) of The Companies Act, 2013)

Thanks

CA Shruti kuchhal

CA Shruti kuchhal (Querist)
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13 June 2014 Thanx sir for the early reply. In the case of My company it is mentioned in AOA that the authorised share capital shall be as per the Clause V of the MOA. Then in that case do we need to amend AOA also or amendment in MOA will suffice. Do we have pass special resolution in that case also.

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Ankur Garg

Ankur Garg (Expert)
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13 June 2014 In that case no need to amend AOA as the same is referring MOA.

Regards

Ankur Garg

Ankur Garg (Expert)
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13 June 2014 Still I would suggest you to cross the above procedure as we all are working in new Companies Act, 2013 and this is a new thing for all of us. So chances of error are always there.

So it is better to be careful regarding procedures.

All the best

CA Shruti kuchhal

CA Shruti kuchhal (Querist)
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13 June 2014 Thanx sir and will be careful regarding procedures