There are two preference shareholders X and Y respectively in Company Z.
Both the above shareholders are holding 4% Cumulative Redeemable Preference shares in Company Z. As on date, no dividend is paid to any of these shareholders in any of the years by Company Z and thereby attracts views mentioned on point no.14 of FAQs on SBO Rules by Shri Vinod Kothari. PFA the same.
However, Rule 2 of Companies (Significant Beneficial Owners) Amendment Rules, 2019 states instruments in the form of GDR, Compulsorily Convertible Preference shares or Compulsorily Convertible debentures shall be treated as shares and thereby attracts views mentioned on point no.15 of FAQs on SBO Rules by Shri Vinod Kothari. As such, while determining SBOs, Cumulative redeemable preference shareholders shall not be counted.
Also, duties of reporting company are mentioned in Rule 2A of Companies (Significant Beneficial Owners) Amendment Rules, 2019 which states as under :
every reporting company shall in all cases where its member (other than an individual), holds not less than ten per cent of its;-
(a) shares, or
(b) voting rights, or
(c) right to receive or participate in the dividend or any other distribution payablc in a financial year,
give notice to such member, seeking information in accordance with subsection (5) of section 90, in Form No. BEN-4.]
Now, considering all the points together, whether a notice in FORM NO. BEN-4 should be addressed to all the preference shareholders of Company Z asking them to address declaration in FORM NO. BEN-1 or not OR we should go by the definition of shares which includes CCPs and not Cumulative Redeemable Preference shares and hence not counted while determining SBO.
rule
Dear Members,
In case of a Private Limited Company, the following is the shareholding;
Mr. X (individual) - 49%
Private Limited Company - 51%
Will BEN Rules be applicable in this case?
Thanks in advance
applicability
rules
Hi All
Indian Private Company is wholly owned by a Foreign Listed Company and Mr. X is holding 23% stake in such Foreign Listed Company. Mr. X is required to submit the BEN-1 to Indian Private Company?
Learned members are requested to reply with proper clarification under SBO Rules.
Thanks
rules
Dear Members,
Does Companies (Indian Accouting Standards) Rules, 2015 is applicable to private company.
Private company is a joint venture company and one of its shareholder is listed on NSE and BSE.
Please guide.
Rgds
Devansh
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indian
applicability
Please upload declaration by applicant under rule 8(A)(1)(p) of Co (Inc.) Fifth Amendment Rules,2019
Click here to view / answer Share it onDear Members,
Please answer my query.
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I have applied for Nidhi Company and MCA has send form re submission with following msg "Declaration from all the subscribers should be attached stating that rule 4, 5, 6 and 10 of Nidhi Rules, 2014 shall be duly complied with."
If any one have format of such declaration.
Dear All, kindly help me on this query.
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As per Companies (Significant Beneficial Owners) Rule, 2018, the ultimate natural person who holds more than 10% shares in downstream Company should file Form BEN-1 to the Company and Company will file BEN-2 with the ROC.
The Company shall maintain a register in Form BEN-3 for these transactions.
Query : 1) Is above applicable to a private ltd. company?
2) If yes, then what is the due date to file BEN-2 with the ROC?
3) What is the due date by which company should receive BEN-1?
4) Is it applicable to Preference shares allotted on 31/07/2018?
Q.Quertsy :
KUMAR S E N
Whose senior managing official should be regarded as SBO and how we defined the term used "senior managing official"
Click here to view / answer Share it on"The company shall, not more than thirty days before the date of filing the application in Form No. INC.23 -
(a) advertise in the Form No.INC.26 in the vernacular newspaper in the principal vernacular language in the district and in English language in an English newspaper with the widest circulation in the State in which the registered office of the company is situated"
What is the meaning of widest circulation and how to know which news papers are widest circulations in NCT of Delhi in terms of Rule 30 of sub rule 5 of Companies (Inc.) Rules
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Will the notifications, circulars, rules, orders issued for certain type of companies under Companies Act 1956 still be applicable for those companies under the Companies Act 2013?
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