CA.Rahul Jain (Partner) (108 Points)
14 November 2009If anyone kindly let me know that can a private ltd co. issue equity shares for consideration other than cash out of reserves to someone who is not a director or member of a company but an employee of a co.? He has also invested some money in co. thru unsecured loan.
Ankur Garg
(Company Secretary and Compliance Officer)
(114773 Points)
Replied 16 November 2009
No.
A private ltd co. can not issue equity shares for consideration other than cash out of reserves to anyone.
CA.Rahul Jain
(Partner)
(108 Points)
Replied 16 November 2009
Request you kindly guide me how to proceed if a pvt ltd. co. want to issue some shares to its employee as a goodwill gesture? Will it be termed as ESOP or something else.
CA.Rahul Jain
(Partner)
(108 Points)
Replied 18 November 2009
Request you kindly guide me how to proceed if a pvt ltd. co. want to issue some shares to its employee as a goodwill gesture? Will it be termed as ESOP or something else.
Ankur Garg
(Company Secretary and Compliance Officer)
(114773 Points)
Replied 18 November 2009
Why don't you go for sweat equity shares u/s 79A?
CA.Rahul Jain
(Partner)
(108 Points)
Replied 18 November 2009
Thanks Ankur for your valuable advice. I will proceed accordingly.
CAclubindia
