16 October 2009
When the MOA is signed Shares are deemed to be subscribed and allotted.It can be trated as paid-up only when the actual payment is made( no time limit prescribed). There is no specific provision and time limit in the companies Act 1956 regarding allotment of issued shares capital by a private company, but when ever foreign exchange involved in share application money, as per RBI guidelines it should be alloted with in 6 months otherwise the Forex should be refunded to the applicant.
CAclubindia
