Ravichander RC (Service) (120 Points)
01 July 2013Hi,
We are in the process of closing down a private limited company. It is a small company with paid up capital of Rs.1 lakh. 80% of the shares are held by the promoter and the balance 20% are held by employees of the company. Some of the employees have left the company.
Please guide as to the process to be followed under companies Act for taking back the 20% of the shares held by the employees and ex employees
umaa's legal clinic
(simple solutions for complex legal issues)
(165 Points)
Replied 02 July 2013
Dear Ramachandra,
Just follow the clauses incorporated in the articles of association. In absence enter into share transfer agreement with the employees( present and past) and purchase them accordingly.
CAclubindia
