Share allotment deadline

Hi

if your company is unlisted, then as per Unlisted Public Companies (Preferential Allotment) Amendment Rules, 2011, u need to allot shares with 60 days from receipt of share application money.

thanks

Mr. Santhosh,

In unlisted public companies, any allotment of securities shall be completed within sixty days from the receipt of application money and in case the company is not able to allot the securities within the said period of sixty days, it shall repay the application money within 15 days thereafter, failing which it will be required to be re-paid with interest at the rate of twelve per cent per annum.

these rules are not applicable to private companies, but good corporate practice to allot shares with said period.