04 February 2021
A private limited xompany has shown share application money in its book for 4 years.Money has been received by one of its director.what is the remedy available as per the law.
04 February 2021
As per the act, it is mandatory to allot share within 60days of receipt of application money. If not allotted, then the same to repaid within 15days along with interest of 12% p.a. As you said, it is showing in BS since 4 yrs, it is already a contravention. I suggest you to issue the shares or return the money along with interest.
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