delegate certificate issue power
The Companies Act, 2013 is silent on whether the power to issue share certificates can be delegated to a committee of the board. However, Section 179(3) of the Companies Act, 2013 provides that the board of directors of a company may delegate any of its powers, except certain specified powers, to a committee of directors, managing director, or any other officer or employee of the company.
Since the power to issue share certificates is not one of the specified powers that cannot be delegated, it may be possible for the board of directors to delegate this power to a committee of directors. However, it is important to note that the Companies (Share Capital and Debentures) Rules, 2014 require the issuance of share certificates to be authorized by a board resolution. Therefore, even if the power to issue share certificates is delegated to a committee of directors, the committee would still need to obtain the authorization of the board through a board resolution before issuing share certificates.
Hello Everyone
If the company was incorporated in March 2023 in Canada by an Individual resident of India, due to non-approval of ODI, no remittance is yet made.
Please advise whether that resident individual needs to file his FLA due in July.
Dear All,
If an entity has not received any inward FDI / made overseas investments in the latest FY, do they need to submit the FLA return?
return
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Is a Section 8 company required to seek permission from Central
Government (“RD”) for alteration of its articles of association
prior to getting the same approved by the members by means of
special resolution in the general meeting?
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What do you mean by ‘Companies with charitable purpose’ (Section 8) under the Companies Act, 2013? What are the conditions for the issue & revocation of the license of such a company by the Government?
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In the case of an overseas subscriber and director, is the documents required to be notarised and apostilled for incorporation of a company?
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What are the minutes of a board meeting, and how should they be maintained?
Hello Professionals
In the case of an overseas subscriber and director, are the documents required to be notarised and apostilled for incorporation of a company?
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In terms of Section 73 of the Companies Act, 2013 read with Rule 2(1)(c)(vii) of Companies (Terms and conditions of acceptance of Deposit) Rules, 2014, deposits do not include receipt of money from Director of the Company, but the money received from a member is treated as a deposit. In case the deposit is taken from a person who is both a director and a member of the Company, will such receipt of money be treated as a deposit or not?
Hi Mahima!
In terms of rule 5 of Companies (Share Capital and Debenture) Rules, 2014, a company cannot issue any share certificate except in pursuance of a resolution passed by the Board.
However, MCA vide its General Circular 19/2014 dated June 12, 2014, has clarified that with regard to issue of duplicate share certificates, a committee of Directors may exercise such powers subject to any restrictions imposed by the Board in this regard [in the light of the provisions of section 179, 180 and regulation 71 of table “F” of Schedule I to the Companies Act, 2013].