A Pvt Ltd Company has issued equity shares to two shareholders- A & B, at a premium. Now, it wants to buy-back some shares from A. All the money that the company has in reserves account is because of the share premium. There are no accumulated profits. The company has also raised some money by issuing debentures. Due to this, Company has sufficient cash to buy-back the shares. All other provisions of Sec 77A are being complied with except that I am not sure what is the meaning of this clause in Sec 77A-"Provided that no buy-back of any kind of shares or other specified securities shall be made out of the proceeds of an earlier issue of the same kind of shares or same kind of other specified securities."
Does it mean that this company in question can not buy back because it is using securities premium account which was raised because of issue of same kind of shares?
The cash is coming from the issue of debentures.
Thanks for your help.
Regards

Dear Professionals

In the balance sheet of a company, calls in arrears are appearing for the past 10 years. Now the company wants to remove Calls in arrear from the balance sheet.

Pls advise the procedure to be followed by the company to forfeit calls in arrears

thanks & regards
CS. Deepika Bhardwaj

Respected All,

XYZ PVT LTD is a company with directors X,Y and Z.
The directors decide to form a partnership firm in which X,Y,Z, XYZ PVT LTD and SKK PVT LTD will be partners.
The capital contribution by the partners is:
X - 5%
Y - 5%
Z - 5%
XYZ P LTD- 45%
SKK P LTD- 40%
The profit sharing ratio will 1/5 th each.

Is there any restriction or compliance regarding the formation of firm?

Regards
Jyoti

procedure for conversion of private co. into public co.?

I have a query regarding s.560. A private company, incorporated one year back, has not opened its bank accounts (and no operations, nothing).

They want to proceed for winding up now (At the earliest possible).

If they opt s.560, they need to appoint auditor to prepare annual accounts etc, but they dont have bank account yet.

Can you please suggest some way?

I would like to know. Can a director take a personal loan from some financial institution on his personal name and repay this loan from the Bank account of the company? If yes, then how will it be treated in the books of company?
&
Can a director of public limited company give loan to the public limited co.? If Yes, What are the policy norms?

Dear Sir/Madam
In incorporation Certificate Shows Transpeed Logistics & Travels Pvt Ltd. But in Memorandum of association shows Transpeed logistic Pvt Ltd. Whether it is acceptable or what. My doubt id IC and MOA should be shows same or what.(And in MCA website also Showing Transpeed Logistic Pvt Ltd Please Clarify My Doubt.

Thank You

Regards
Chinmay Hegde

What is the extent to which a Private Limited Company can accept loans from its directors and members.

Can Interest be paid on such loans

Can a Pvt. ltd. Company have a minimum share capital of Rs. 100,000/- and raise all other funds through loan from directors shareholder and their family members (out of their Own funds and not through borrowings in personal account)

Hi Experts

Would like to know the process to be followed when directorship resignation been planned.
The scenario is
husband and wife holds 100% share of a pvt ltd company. The company has 3 directors two external and one with in the share holder. One of the external director runs the business.
With the different business views with directors the director+share holder decided to quit.
The company has service tax liability, few vehicle loans and OD has been obtained by the director who is now decided to quit.
The director who runs the business put front the below method to take place for the directorship resignation.
1. share transfer to him and his wife.
2. Then the removal of signatory for the banking.
3. Then resignation of directorship with the legal documents sign off.
Now the question is
Are there any way the director can quit and be without liability.
To come out from the company without liability (service tax+loan+od) what is the process to be followed?
If the above requested method accepted what is the risk?

Your expert view will be much helpful.

Thanks in advance.

Hi sir,please advice about following.As per sec.262&313 (casually filled & alternate dir.) it is written that these directors will be the non rotational directors.
I am confused that casually filled dir. holds office till unexpired period of original dir then if original dir would be rotational then can't the casually filled dir automatically become rotational???
The same query is for alternate dir.Please answer using following ex.
Mr.A,original dir,is a rotational dir.Total strength of board=11 out of which 8 would be rotational.Now if Mr.A is appointed latest for 3yrs term & he vacates the office in 1st yr.Now if board fills casual vacancy then the new dir would be rotational or non rotational???
What no. of dir will be liable to retire by rotation???(I guess 11-1=10*2/3=7)
Please clarify.
Thanx for the reply.