Right issue of share
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
21 April 2012
Hi,
Please tell me whether a private company can issue Right share if not mention in AOA?
Please tell me whether a private company can issue Right share if not mention in AOA?
CS Mitesh Mehta
(Expert)
21 April 2012
No.
If a private company opts for Right Issue, AOA of the company must specifically provide for it. If the articles are silent, the shareholders have no pre-emption rights and the directors have the right to offer new shares to any person/s in any number.
If a private company opts for Right Issue, AOA of the company must specifically provide for it. If the articles are silent, the shareholders have no pre-emption rights and the directors have the right to offer new shares to any person/s in any number.
CA Prashant Gupta
(Expert)
21 April 2012
AOA must specifically allow the issue of right shares or it must contain the clause the Table A will refer in case of no provision in AOA.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Tax on Amount transferred in HUF Account
- WRONG GSTR7 ENTRIES ACCEPTED ERRONEOUSLY
- Nursery business
- GST input credit on commercial property
- GST REFUND ISSUE ON PURCHASE OF PLANT AND MACHINERY
- Working on Gold wastage during Melting of old gold jewellery
- TDS on Dashcam rent and allied services
- Intimation under section 245
- HOW TO ADJUST CREDIT NOTE AMOUNT ?
- Urd purchase entry in tally prime
- Subject: Legal Remedy for Removal of Income Tax Demand for AY 2024–25 – Charitable Trust
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
