Mode of alteration, Business Law and Ethics

Assignment Help:

Mode of Alteration:

 The alteration of capital may be made by -

1) Increasing the company's share capital by new shares of such amount as the resolution prescribes; or

2) Consolidating and dividing all or any of the company's share capital into shares of larger amount than the existing shares; or

3) Converting all or any of the company's paid-up shares into stock, or reconverting the stock into paid-up shares of any denomination; or

4) Subdividing all or any of the shares into shares of smaller amount than is fixed by the memorandum; or

5) Canceling shares which have not been taken or agreed to be taken by any person, and diminish the amount of the capital. This mode of alteration is also known as diminution of capital. Subsection (3) provides that it shall not be deemed to be a reduction of share capital within the meaning of the Act.

3.2 The registrar must be notified of an alteration of capital within thirty days after the passing of the resolution authorizing the alteration. In the event of a failure to do so, the company and every officer of the company who is in default shall be liable to a default fine.


Related Discussions:- Mode of alteration

Explain how this power conferred on the fsc is exercised, QUESTION 1 Th...

QUESTION 1 The Financial Services Commission (FSC) is the licensing authority for businesses operating in the Global Business sector. By referring to the Global Business Catego

How state succession deals with debts and loans, How state succession deals...

How state succession deals with debts and loans The issue relating to state succession deals with debts and loans. When a new state comes into existence, the question arises as

Determine the term - games nations play, Games nations play Game analog...

Games nations play Game analogy can be used to get the idea because the principal players, states reject any higher authority. Each state, take any player in a competitive game

Graphically illustrate a drp system, Question 1: Describe the types of ...

Question 1: Describe the types of pallets that exist, and suggest the one that is more suitable to an organization that has a high variety of low-value items, which high stock

Explain united nations general assembly, Explain United Nations General Ass...

Explain United Nations General Assembly A treaty may also be referred to as a Convention, Protocol, Agreement and Declaration. There are no legal reasons for using different na

Explain international law on terrorism, Normal 0 false false ...

Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4

Critically analyze the steps while dealing ethical dilemma, Question: a...

Question: a. An Ethical dilemma is a complex situation that often involves an apparent mental conflict between moral imperatives, in which to obey one would result in transgre

What is the major issue concerning the international law, What is the major...

What is the major issue concerning the international law The major issue concerning the international law is its implementation within the domestic system. A State can enforce

Explain unctoc, Explain UNCTOC UNCTOC identified the concept of an o...

Explain UNCTOC UNCTOC identified the concept of an organized crime. A crime is termed as an "Organized Crime" when people in different countries and/or of different national

Duties of the principal - agency law, Duties of the Principal - Agency Law ...

Duties of the Principal - Agency Law However the duties of the principal for the agent are like: Remuneration Whether to pay the agreed commission where it becomes du

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd