Can the company held the shares of the subsidiary company or of any other company under its name or it will held the shares in the name of the directors but the beneficial owner is the com?
Sunil Kalamkishor Malu (Student) (24 Points)
16 January 2010Can the company held the shares of the subsidiary company or of any other company under its name or it will held the shares in the name of the directors but the beneficial owner is the com?
Rasesh
(CS CWA MBA (Fin) B.Com LL.B (Spl))
(6501 Points)
Replied 17 January 2010
The company can hold the shares of the subsidiary in its own name. However, if the subsidiary is a wholly owned subsidiary, then you will be required to have atleast one share transferred in the name of some authorised person so that the subsidiary satisfies the requirement for minimum number of members. (two for private and seven for public compan).
The benefitial interest of these shares should be held by the holding company and not the authorised persons, so that the subsidiary company qualifiies as a wholly owned subsidiary.
raspreet kaur
(job)
(55 Points)
Replied 20 January 2010
Company being a legal person can hold the shares in its own name.
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
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