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Moksha (Querist)

17 March 2015 Hello

Grateful if anybody could help me out regarding the below query

There is a company with one (sole-100%) shareholder. Authorized Capital is 10 million and paid up is 1.4M. There comes an investor shows interest in subscribing the equity up to 40%.

In this situation, can the Shareholder withdraw that money from the business and what will be his future obligation regarding that withdrawal? Is he obliged to return the money withdrawn if that investor subscribes an additional 40%? (coz the % of shareholding will become 20% in that case ryt!)

Please suggest

Thank you

Regards
Moksha

Amol S Joglekar

Amol S Joglekar (Expert)

17 March 2015 How can SHARE HOLDER withdraw money? Is the company going to BUY BACK its own shares from this one (sole-100%) shareholder?

Moksha

Moksha (Querist)

17 March 2015 Hello Mr. Amol

The Shareholder wants to withdraw funds by way of loan through Shareholder Current Account.

This company is based out of UAE regulated by DFSA & DIFC

Amol S Joglekar

Amol S Joglekar (Expert)

19 March 2015 Thanks for informing that the company is based out of UAE and regulated by DFSA and DIFC.
I am sorry I do NOT have exposure on the same. My response was based on the assupmtion that the query is for INDIAN company, registered in India.

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