Balwant Rawat (Management Trainee) (153 Points)
05 March 2016
srikumar
(audit staff)
(1203 Points)
Replied 05 March 2016
Balwant Rawat
(Management Trainee)
(153 Points)
Replied 07 March 2016
Sir, Plz provide me clarification in this regard ( any section or rules)???
P C Agrawal
(Registered independent director Past Chairman of Aurangabad Chapter of ICSI Practicing Company Secretary at Aurangabad)
(8229 Points)
Replied 07 March 2016
Dividend can be declared only out of distributable profits. If there is no profit, shareholders (whether equity or preference) will not get any dividend.
Balwant Rawat
(Management Trainee)
(153 Points)
Replied 07 March 2016
Thank you Sir for your prompt reply. I want to confirm one more thing, in case company do not have profits for 2 yrs or more and the company didnt declare any dividend for that period. Is perefernce shareholders get voting rights as per sec 47(2) of companies act 2013????
prakash
(Company Secretary)
(1352 Points)
Replied 07 March 2016
Yes, Where the dividend in respect of a class of prefrencee shares has not been paid for a period of two years or more, such class of preference shareholders shall have a right to vote on all the resolutions placed before the company.
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