Committee for allotment of shares
Querist : Anonymous
An unlisted public company, with 4 directors, wants to issue shares on rights basis. Can the allotment be made by Committee of directors. If so, can 2 directors form a valid committee.
Pl treat the matter as most urgent.
For this read the board resolution through which committee is constituted. If board had delegated power of allotment and decided minimum quorum of 2 then you can...
In case of Private Company and Unlisted Public Company, committee is controlled and managed by AOA and Board Resolution.
As the same in above case.
The Board of Directors of a Public Limited Company, whether listed or not shall consist of atleast 3 Directors. As per section 292A of the Companies Act, 1956 an Audit Committee of a Public Limited Company must consist of atleast 3 Directors. The Act is silent on the constitution of any other Committee constituted by the Board but looking at the intention of regulators and draftors of the Act, it is evident that the Committee of the Board of Directors of a Public Limited Company should consist of atleast 3 Directors. The quorum of the committee meeting may be as decided by the Board of Directors of the Company.This is my opinion.
Apart from Audit committee no other committee is regulated by Act and thus if any other committee is constituted by Board the same will be regulated through board resolution quorum powers etc.. all.
Schedule XIII
Click here to login now
Similar Resolved Queries
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Capital Gail Exemption Certificate
- Taxation of crypto futures in India Fy 2026- 2027
- EPF ECR NEW RULES Sep 17th 2026
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- Issuing of delivery challan by seller of goods
- MSME disclosure and disallowance
- Accounting treatment of AMC alongwith the purchase of Laptop
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
