Alteration of objective in memorandum of association

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Meera P S (Querist)

01 July 2014 Hai, a company which is engaged in the business of manufacturing of cables, now decided to start distribution of cables purchased from others. is it constitute change in objective in the Memorandum of Association as per new companies act 2013. pls help me

Ankur Garg

Ankur Garg (Expert)

01 July 2014 As per my opinion it is a separate commercial activity apart from present line of business. You are advised to read your main object clause carefully. I am sure this new activity should be there in your present memorandum.

If the same is not there, then you have to amend your MOA to include that activity. For alteration of MOA you have to file form MGT.14 (Earlier form 23)

Please revert if there is any doubt. I will try to arrange detailed procedure.

Thanks
Ankur

Ankur Garg

Ankur Garg (Expert)

01 July 2014 Procedure for change in object clause under Companies Act, 2013

This process involves alteration of MOA

1. First Call a board meeting and pass following 3 resolutions
a) resolution for change in object
b) calling of General Meeting.
c) authorisation to sign digital form

2. On due date hold General Meeting and pass the Special Resolution.
3. File form MGT.14 with ROC within 30 days of passing Special Resolution in General Meeting.
4. Prepare new MOA with new clause and attach the same in form-MGT.14 along with notice of General Meeting.

Regards

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Meera P S

Meera P S (Querist)

01 July 2014 hai sir,
distribution is not their objectives. it contains only manufacturing of cables.

Ankur Garg

Ankur Garg (Expert)

02 July 2014 It is advisable to amend your MOA suitable to cover the new activity.

Thanks

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