Section 62 - increase in share capital

RoHaN k (CA & CS) (308 Points)

24 June 2014  

Dear all ,

Please clarify on following

As per section 62 (1)(b) , Every increase in share capital shall have pari passu effect of issuing such shares to employees under ESOP.

Whether it means - with every issue of shares by whatever name called , do we have to issue shares to employees on pro rata basis ??

Thanks