29 July 2011
I have 100 equity shares in Tata Tea @ Rs.10 each.IT has been converted into stock. I surrendered all the shares to the company and received a single stock certificate of Rs.1000. Now i am going to transfer worth Rs.230 stock to my friend. I had 100 votes (1 vote for 1 share) in AGM. Now what will be my voting power and how my vote will be considered in Annual general meeting?
As you says that you have transfer shares in to stock it means you have investmnet of stock only ands not share. Am i right? If yes than as per company law section 96 says that there is ceasation of all the rights attached to share when it converted in to stock, so in your case there is no question of vaoting rights because it lapes when you convert shares in to stock.
CAclubindia
