Convertable debt. by private company
This query is : Resolved
Gaurav Kandpal
(Querist)
23 March 2012
private can issue convertable deb on private placement..procedure and formats ...urgently need
Ajay Mishra
(Expert)
23 March 2012
Hi
Yes, private company can issue convertible debentures. A company issue debentures following procedure will follow:
1. Call a Board Meeting for entering debenture issue agreement.
2. Call an other Board meeting after agreement to call a general meeting for issuing debentures under section 81 (1A) of the Companies Act, 1956.
3. Hold a General meeting and issue a debentures.
4. File a Form-23 with ROC.
5. Hold a Board meeting to allot issued debentures.
6. Issue debentures certificate within 3 months from the date of allotment.
7. Make entry in the register of debentures.
However the provision of section 81(1A) will not apply but you follow the same and must read your company's article to give permission for issue of debentures.
Regards
Yes, private company can issue convertible debentures. A company issue debentures following procedure will follow:
1. Call a Board Meeting for entering debenture issue agreement.
2. Call an other Board meeting after agreement to call a general meeting for issuing debentures under section 81 (1A) of the Companies Act, 1956.
3. Hold a General meeting and issue a debentures.
4. File a Form-23 with ROC.
5. Hold a Board meeting to allot issued debentures.
6. Issue debentures certificate within 3 months from the date of allotment.
7. Make entry in the register of debentures.
However the provision of section 81(1A) will not apply but you follow the same and must read your company's article to give permission for issue of debentures.
Regards
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- WRONG GSTR7 ENTRIES ACCEPTED ERRONEOUSLY
- Tax on Amount transferred in HUF Account
- Nursery business
- GST input credit on commercial property
- GST REFUND ISSUE ON PURCHASE OF PLANT AND MACHINERY
- Working on Gold wastage during Melting of old gold jewellery
- TDS on Dashcam rent and allied services
- Capital gains in IT returns
- ETDS return q4 25-26
- Import Order Cancelled.
- Subject: Legal Remedy for Removal of Income Tax Demand for AY 2024–25 – Charitable Trust
- 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
- 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
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
