21 January 2016
One of our client recently got paid up capital increased to 5 Crores and due to this ROC has sent Show cause notice to all the directors why they have not appointed full time company secretary in company"
Now we are planing to buy back some equity so that paid up capital goes down below the 5 Cr. threshold. Then what is the procedure of buyback by the pvt. ltd. We increased capital just 2 months ago.
And 2nd question is how to deal with Show cause notice received from ROC. Pls suggest its urgent
22 January 2016
As per Section 203 with in 6 month of falling in limit company is required to appoint CS. So make a reply to ROC that company is in process of buy back and reduction of capital with in 6 month of falling in limit.
03 February 2016
Divesh ji, As per requirement of Rule 17(1) (n) (iii) of the Companies Share Capital and Debentures Rules 2014, Audited accounts should not be older than 6 month then how to comply with this condition now to complete Buy back.
and we have negative figures in Reserve and surplus as per last audited financial statement. Recently company has issued fresh capital, can by back be made out of that issued capital?
CAclubindia
