Vijith (student) (46 Points)
12 May 2012Hello frnds,
can any one tell me what is the internal proceedure to be taken for increasing the paid up capital of a public ltd company?
like; holding special meeting or extra ordinary meeting; notice of intimation to shareholders, etc.
up to what extend can such a company increase its paid up capital?
Ankur Garg
(Company Secretary and Compliance Officer)
(114778 Points)
Replied 12 May 2012
Hi,
For increase in paid up share capital you have to allot new shares to the existing or new shareholders. They’ll pay you for the shares.
In case of allotment of shares return of allotment is required to be submitted u/s 75 by filing form-2 with concerned Registrar of Company.
Procedure
Further I would advise you to take help of a professional for first time.
Regards
Kamlesh
(Article Assistant)
(137 Points)
Replied 12 May 2012
Dear Ankur Sir,
I have a question regarding section 75(1)(a).
It says "file with the registrar a return of the allotments , stating the number and amount of the shares comprized in the allotment, the names, addresses, and occupations of the allottees, and the amount if any, paid or due and payable on each share:
Provided that the company shall not show in such return any shares as having been alloted for cash if cash has not actually been received in respect of such allotment.
So my question is when amount due and payable on the shares are required to be stated in the return,but money will be realised through cash? And if at the time of filling return say for example X allottee will pay by cheque decided and on that basis i have showed in the return due and payable on shares,and then he pays by way of cash,so i was not required to state those shares for which i have not received cash. So what will happen?
CAclubindia
