Issue of share certificate

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Anil Jacob (Querist)
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05 January 2009 My company have authorised share capital of Rs.500000. We have paid up capital of Rs.300000. We would like to issue the rest Rs. 2 lakhs shares to another party. Please guide me on the proceedures.

CA RAMESH KUMAR AHUJA

CA RAMESH KUMAR AHUJA (Expert)
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05 January 2009 Application Money may be received along with Share Application.

Place the application before the Board of Directors in their meeting for their consideration to allot the shares or reject the application.

If decided to allot, issue certificates to that effect.

Also, send a Return of Allotment on Form 2 to the concerned ROC within 30 days of such allotment.

CS Arpita Rajpurohit

CS Arpita Rajpurohit (Expert)
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05 January 2009 plz refer section 81(1A) of the Companies Act.

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Anil Jacob

Anil Jacob (Querist)
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05 January 2009 Thanks a lot. The face value of the share is Rs.10 but company will collect Rs.25 from the other party[Rs.10 face value and Rs.15 premium.] We collect Rs.10 as application money. Can we treat this 10 rupees as premium or proportionate for face value and premium?