03 August 2009
Dear All, Please tell me what will be the draft of the notice to be issued by the transferer director to a private ltd company. when he is willing to transfer his shares to another individual
Please explain your query a bit. However find below the procedure for transfer of share in the Private Company:
First check your AOA provisions regarding transfer of share.
Procedure
1. Transferor --- give notice --- to the Company --- for his intention to transfer.
2. Company in turn --- notify to other member --- regarding availability of share and price at which such share would be available.
3. Such price --- generally determined by auditor/directors of the company.
4. Company --- also communicate to member --- time limit --- for option to purchase shares.
5. if nobody comed forward --- then share may be transfered to outsider --- in such case company have to accept the transfer.
Note: transfer to outsider without following AOA procedure will not be operative against the company and transfer to an outsider was held not to be effective.
We have incorporated one steel company in Pune. The shareholing in this company is as follows a) Mr. soo man choi is holding 9999 shares of rs. 10 each b) Mr. B.K. cho is holding 1 share.
Now we want to appoint a director who is not in India and will just visit for this R.O.C. work. His shareholding will be 9998 shares i.e. Mr. Soo Man choi will transfer his all except 1 shares.
what should we do what kind of Board resolutions need to be passed, what king of notice should be issued by transfering shareholder, and which documents need to be filed with R.O.C.
CAclubindia
