Non issue of bonus shares after approval in agm

With reference to Rule 14 of Companies (Share Capital & Debt) Rules 2014,

The Companies Officials might be tried under Section 448 of CA 2013 for False Statement.

Hello Sir,

the same could be ratified by conducting an egm and unianmous approval for the same could be asked for. the reasons for non compliance of the issue should be added in the resolution. 

regards 

sriram 

Pl note that Supreme Court in its judgement dated 21/4/1970 in the case of Shri Gopal  Paper Mills Co. Ltd v/s CIT, Central Calcutta has held that bonus shares become property of the shareholders on the date of declaration in general meeting and not on the date of allotment by the Board of Directors.

Originally posted by : P C Agrawal
	Pl note that Supreme Court in its judgement dated 21/4/1970 in the case of Shri Gopal  Paper Mills Co. Ltd v/s CIT, Central Calcutta has held that bonus shares become property of the shareholders on the date of declaration in general meeting and not on the date of allotment by the Board of Directors.

As per rule 14 of the Companies (Share Capital and Debentures) Rules, 2014 the Company which has once announced the decision of its Board Recommendation of Bonus issue, shall not subsequently withdraw the same.