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Allotment of share

GURPREET SINGH (PROPRIETOR) (38 Points)

18 March 2013

i want to know that the allotment of share is to be send to any department or not.?

if the company is new and started new business & issue of share capital to promoters (initial one i.e rs 100000.)

then also it is required or not?

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2 Replies

Ankur Garg (Company Secretary and Compliance Officer) (114773 Points)
Replied 19 March 2013

Hi,

In case of fresh issue of shares form-2 is required to be filed with ROC within 30 days of allotment through board resolution.

Further Subscribers of MOA are deemed shareholders of the company. They don't need to take shares. As soon as they subscribe the MOA & file it with ROC along with other incorporation documents they become the members as well as shareholders of the company. Appreciate further have you ever filed form-2 for the subscribers? The answer would be No. That itself is a kind of proof that no allotment is required to be made to the subscribers.

Form-2 is not required to be filed for subscribers hence no formal allotment is required in case of subscribers. They are deemed members and shareholders of the Company.

DATE OF ALLOTMENT TO SUBSCRIBERS AND DATE TO BE MENTIONED ON SHARE CERTIFICATE

Date of allotment to subscribers will be the date of incorporation of the company and the same date will also be used for printing on share certificate to be issued to subscribers.

Practically & legally this is very much possible. To conclude you may use Date of Incorporation of the company for the purpose of:

Printing on share certificate of subscribers
as date of Allotment to subscribers
For the purpose of filling the column in register of member to enter the name of subscribers.

In case of any doubt please post it. I’ll definitely try my best to solve it.

Best Regards