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declaration and payment of dividend

27 January 2018

can anybody please help me to understand

section 126 - right of dividend, right shares and bonus shares to be held in abeyance pending registration of transfer of shares.

i can not able to understand this section from Bare Act.

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2 Replies

AnishAgarwalla (article) (22 Points)
Replied 27 January 2018

if there is dispute regarding real owner then company will stop the payment of divd ,it is called abyence

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Moneesh Nair (0) (609 Points)
Replied 28 January 2018

abeyance means put on hold, if registration of transfer of shares is pending with the company and if any dividend or right shares or bonus is declared then such dividend or right shares or bonus related to the shares will be put on hold untill the shares are transfered or the transfer deed is rejected.