Allotment of equity shares

This query is : Resolved

Nilesh Soni (Querist)
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08 October 2013 Dear Sir,
Can we issue equity shares to a proprietorship firm.
in the name of firm only or we need to issue on the name of proprietor.

Arun Biyani

Arun Biyani (Expert)
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08 October 2013 No.. it should be then in the name of proprietor..

RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)
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08 October 2013 http://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=8104

SAMADHAN SHRIRAM

SAMADHAN SHRIRAM (Expert)
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08 October 2013 Partnership firm as a member:
A partnership firm is not a legal person and
as such it cannot, in its own name, become a member of a company except in
company registered u/s 25 of Companies Act.

Proprietorship firm can not become member, it should be name of the proprietor