09 November 2010
Is It Compulsory For A Private Limited Company To File Return of Allotment of Shares in Form No. 2? If Yes When It Should Be Filed i.e. Time Limit From Allotment. What Are The Consequences For Not Filing.
Section 75 of the Companies Act, 1956 provides that every Company having a share capital shall within 30 days of the allotment of shares file with the Registrar, a return of Allotment in the prescribed Form No.2 containing the prescribed details. As per section 75(3) of the Act, the Registrar may on an application made to hom either before/ after the expiry of 30 days period extend the period of filing the Return of Allotment by such period as he thinks fit.
Consequences of Not filing the Return of Allotment:
Every Officer and Every Promoter of the Company who is guilty of the contravention of the provisions of section 75(1)(a), shall be punishable with fine which may extend to Rs.50,000/-
Hence, to conclude, even a Private Limited Company is required to file Return of Allotment in Form No.2 within 30 days of the allotment of shares.
This is my interpretation of the provisions of the Companies Act, 1956 and views of other eminent experts are always welcome.......
09 November 2010
Yes, it is complusory for every company to file the return of allotment when the shares are allloted. We have file the form 2 within 30 days from the Board meeting in which the shares are alotted.
CAclubindia
