27 February 2009
From the date of closure of date for share application money it should be alloted or refunded within 120days as per companies act. There is some problem or mistake. Kindly reverify all the details in the account and reconcile the same.
27 February 2009
In my opinion and as per my knwoledge, there is no provision except Section 69 of the Companies Act, 1956 provide for the allotment or refund within 120 days. Yes in case of issuance of Prospectus if the minimum subscription is not subscribed, the Company needs to refund within 120 days but otherwise, I don't think there is any period for the allotment or refund.
Just the Company can not use the Share application money in its Business Operation untill it allot shares.
CAclubindia
