A Global Depository Receipt is a negotiable instrument denominated in a foreign currency. Through a GDR, Indian companies can trade their shares on international exchanges other than the US. The depository receipt for an Indian company is issued by a foreign depository. On that country’s domestic exchange, depository receipts trade similarly to shares. As a…
A share certificate is a written document issued by a company to act as legal proof of ownership of the number of shares as specified in the certificate. It can also act as a receipt towards the purchase and ownership of shares of a company. In simple words, it certifies the shareholder with registered ownership of…
COMPANIES (CREATION AND MAINTENTENANCE OF DATABANK IN INDEPENDENT DIRECTOR) RULE,2019 Section 150: This is new section which provide the manner or selection of independent director and maintenance of databank by anybody, institute or association as may notified by cental government. This section also tells prescription power of cental government. Notification from the Government of India’s…
INTRODUCTION A Global Depository Receipt is a negotiable instrument denominated in a foreign currency. Through a GDR, Indian companies can trade their shares on international exchanges other than the US. The depository receipt for an Indian company is issued by a foreign depository. On that country’s domestic exchange, depository receipts trade similarly to shares. As…
Director Identification number [section 153-159] INTRODUCTION No person shall be appointed as a director of a company unless he has been allotted the Director Identification Number under section 154 which is issued by the central government. The Company shall within 15 days furnish the DIN of all directors to the registrar (ROC) on a prescribed…
As per the notes to the clause of the Companies Bill, 2011, “this clause corresponds to section 84 of the Companies Act, 1956 and seeks to provide that a certificate issued by a company shall be prima facie evidence of the title of the person to such shares. It provides the manner for issuance of…
Introduction: To run a company, it needs huge funds for its operations in long/short term. Company has to raise and pool the money to do the business it has various sources through which company can raise money as a Public co (Limited Co here) can offer its shares to general public to subscribe through Prospectus…
Meaning of Voting right: The term ‘voting right’ is defined in Section 2(93) of Act, as “Voting right” is the right of a member of a company to vote in any meeting of the company or by means of postal ballot. As per dictionary “voting rights” means “delegable right of a common stock (ordinary share)…
Share is the interest of the member in the company, it represents ownership in the company. When an individual buys the share of any company, they become one of its owners known as shareholders choose who run a company and are involved in making key decisions. As per Companies Act 2013 section 2 (84) defines…
The ability of a corporation to buy its own securities is covered in Section 68 of the Companies Act of 2013 and the Companies (Share Capital and Debentures) Rules, 2014. Buyback sources include: The proceeds of a previous issue of the same kind of shares or other specified securities may not be used to purchase…
