divya (article) (29 Points)
08 January 2013Dear All,
I'm practising CA in Bangalore.
Kindly suggest me for the below mentioned issue :-
One of my client ask to increase authorise capital for INR 10,00,000/- by keeping 100,000/- unalloted (INR 900,000/- is paid up capital) but due to error, Paid up capital is mentioned in the Form 5 of INR 10,00,000/-. and it is approved by ROC. Is there any way to correct it?
How to rectify this error? Kindly Suggest.
Regards,
Divya
Sneha
(Company Secretary)
(1594 Points)
Replied 08 January 2013
According to my perception,
First talk to concerned ROC and then opt for any of two below mentioned solution if ROC permits.
1. File a revised Form 5 with correct paid up capital in which attach a lettere signed by Director stating about the error.
2. File Company Master Data Correction Form (First alternative is more valid)
CS,CA F,Numrologi TusharSampat
(CS CA F Numerologist Astrologer Graphologist Face reader Vastu Expert)
(85930 Points)
Replied 08 January 2013
yes what sneha have said is perfect solution to ur problem
divya
(article)
(29 Points)
Replied 09 January 2013
Hi Sneha,
Thanks for your valuable inputs.
We have just spoken to our concerned Assistant ROC, they are telling that, Form-5 once it is approved, it cannot be revised. However we can submit a fresh Form-5, pay Stamp Duty again and then they can nullify the former Form-5 replacing the latter. What you suggest?? The client may not agree to pay stamp duty again.
For option-2, how to correct Company Master Data?? Please suggest if it can be done online.
Thanks in Advance.
Regards,
Divya
Sneha
(Company Secretary)
(1594 Points)
Replied 09 January 2013
Legally, you should opt for the solution which ROC provided you with. I dont have any right to suggest you with any other alternative.
For your information and future reference I am telling you the procedure of Company Master Data Correction Form. Take the print out of Master Data as it appears on MCA portal as on date. In the last column which is blank manually write the changes you want to make in master data. Submit it to ROC with prescribed fee.
CS MOHIT SALUJA
(PRACTICING CS Jalandhar 9914558709)
(5155 Points)
Replied 08 May 2013
Dear Divya, the effect of Form 5 is on Authorised Capital i.e. in MASTER dATA, the amount of authorised capital will incraese and not the paid up capital. What has been done, let it go. Now just file Form 2 in which you give paid up capital as Rs. 9 lakh and authorised capitall as rs. 10 lakh. the master data will change symultaneously as per your requirements
Sneha
(Company Secretary)
(1594 Points)
Replied 09 May 2013
Mohitji, I dont think ROC will accept Form 2 as no fresh allotment is made. There will be no content for list of allottees
CS MOHIT SALUJA
(PRACTICING CS Jalandhar 9914558709)
(5155 Points)
Replied 09 May 2013
As Divya is saying that wrongly written as 10, 00, 000 in paid up capital in Form No. 5, thats i said that there will not be any impact over paid up capital in Master Data. and if the company want to make impact of 9 lakh as paid up capital then it should file form 2
divya
(article)
(29 Points)
Replied 06 June 2013
Sneha
(Company Secretary)
(1594 Points)
Replied 06 June 2013
Vidisha Gupta
(Company Secretary)
(91 Points)
Replied 06 June 2013
I agree with what mohit has said.......form 5 is filed to increase the authorised caoital of the comoany and if company wishes to represent its paid up capital as 900000 rs than it has to file form 2 .......as u file form to with the list of allotee it will be update soon
Sneha
(Company Secretary)
(1594 Points)
Replied 06 June 2013
Evn I agree it will be better if we could file Form 2..but d thng is wat no of shares we will give in fresh shares alloted column and application money recvd ??
Vidisha Gupta
(Company Secretary)
(91 Points)
Replied 06 June 2013
Dear Sneha,
u file with the same share u wish to allot .......and automaetically it will update.there is no need to file form 5 again and paying stamp duty over it
Sneha
(Company Secretary)
(1594 Points)
Replied 06 June 2013
Vidisha Gupta
(Company Secretary)
(91 Points)
Replied 06 June 2013
yes sneha i have read it again the discussion is going somwhere else company wish to keep 100000 unalloted share.......mohit enlight our knowledge
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