Share application money peding allotment

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RAJASHEKHAR.S.A

RAJASHEKHAR.S.A (Querist)
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11 November 2010 How many days an existing pvt limited company can keep the share application money received without allotment of shares.

Aditya Maheshwari

Aditya Maheshwari (Expert)
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11 November 2010 There is no limit as per compaies act. however shares should be allotted within a period of six months.

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udit sharma

udit sharma (Expert)
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11 November 2010 Agreed with Mr. Aditya..... However there is no prescribed time limit under the Companies Act, 1956 but the period of 6 months as quoted by Mr. Aditya is prescribed in the FDI Circular issued by the Reserve Bank of India on 01.07.2010 for a sunset period of 1 year and needless to say applies only to the share application money received from outside india.......

Views of eminent experts are welcome.....

Best Regards

Udit Sharma

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RAJASHEKHAR.S.A

RAJASHEKHAR.S.A (Querist)
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11 November 2010 Thanks for your reply sir.