Dividend

yes,why not.

yes no problem at all. 

But should be from profits and not from reserves

agree with mr. praveenji

MR ZEAL, AN EXAMPLE FOR YOU:

THE PUBLIC COS ISSUE SHARE OF NOMINAL VALUE OF RS.10/- AT 30-40 TIME PREMIUM SAY AT 300-400RS. NOW YOU SEE, LITERALLY WHAT 20-30% DIVIDEND WOULD MEAN TO AN INVESTOR,

SOME 2-3 RS PER SHARE PER YEAR (ROI OF AROUND 1%),

THEREFORE IF THE OPTION OF TRANSFERING OF SHARES IS RESTRAINED........

THEN "NO ONE WOULD INVEST".....

THEREFORE HOW PRAGMATIC IT IS FOR A CO TO DECLARE SOME 200% DIVIDEND,  WHICH FETCHES THE INVESTORS A RETURN OF AROUND 10%.............

FURTHER, THERES NO RESTRICTION ON SUCH DECLARATION OF DIVIDEND SUBJECT TO CERTAIN STIPULATION OF THE CO ACT

MR ZEAL, AN EXAMPLE FOR YOU:

THE PUBLIC COS ISSUE SHARE OF NOMINAL VALUE OF RS.10/- AT 30-40 TIME PREMIUM SAY AT 300-400RS. NOW YOU SEE, LITERALLY WHAT 20-30% DIVIDEND WOULD MEAN TO AN INVESTOR,

SOME 2-3 RS PER SHARE PER YEAR (ROI OF AROUND 1%),

THEREFORE IF THE OPTION OF TRANSFERING OF SHARES IS RESTRAINED........

THEN "NO ONE WOULD INVEST".....

THEREFORE HOW PRAGMATIC IT IS FOR A CO TO DECLARE SOME 200% DIVIDEND,  WHICH FETCHES THE INVESTORS A RETURN OF AROUND 10%.............

FURTHER, THERES NO RESTRICTION ON SUCH DECLARATION OF DIVIDEND SUBJECT TO CERTAIN STIPULATION OF THE CO ACT