vasoya ankit (Practice) (137 Points)
12 September 2012in pvt limited company we have filled form no 2 showing fully paid in cash in the name of one director, but we have not received any money from director, now we want to forfeit share allotted to him and want to issue same to new director ?
kindly tell me how can it be resolved in ROC ?
should i revised form 2 by changing name ?
CS Samiksha
(Company Secretary)
(85 Points)
Replied 12 September 2012
Dear Ankit,
This is the case of re-issue of forreited shares. The reissue is only sale of the existing shares and not allotment. Form 2 is for allotment of shares, so Form 2 is not required to be filed with ROC in case of re-issue of shares.
Regards,
CS Samiksha Kansara
Charu Srivastava
(Company Secretary)
(4210 Points)
Replied 13 September 2012
First mistake is created by the Company by alloting shares without having received the cash.
Generally the cash is received first and thereafter alloted.
CS Ankur Srivastava
(Company Secretary & Compliance Officer)
(17853 Points)
Replied 13 September 2012
There is a specific procedure for forfeiture of shares, by applying such procedure first forfeit shares then file form 2 showing the same.
In case of reissue file form 2 accordingly.
sangram ghatge
(company secretary in practice)
(198 Points)
Replied 13 September 2012
dear ankit,
the professional certifying the form 2 will have to face action, if any, taken by the ROC for wrong certification.
file form 2 again for that same allotment with necessary corrections, stating that share money is due. attach a explanatory letter to this form, explaining the mistake done in earlier form 2.
then follow the procedure for forfeiture seperately.
regds,
sangram
Keshav
(Yet to be in)
(46 Points)
Replied 14 September 2012
Shares are allotted after money is received.Now as the money is not received shares can be forfeited.Form 2 must have been filed as showing money due from 1st director then its ok else initial form 2 requires rectification and then the procedure as therby mentioned in the provisions for forfeiture must be carried on after that new allotment must be made after money is received from the another direcctor to whom the shares are freshly issued after forfeiture.
CS Ankur Srivastava
(Company Secretary & Compliance Officer)
(17853 Points)
Replied 18 September 2012
Ankit,
You may go for transfer of shares. As you have already filed form 2 for allotment, revision of it will be comlicated and time taking as well. therefore go for transfer and do the needful.
CAclubindia
