Section 297

This query is : Resolved

vishwas gajanan chandhaikar (Querist)
Follow

13 March 2012 Dear All,

We have a Public Ltd. Company whose share holding pattern is as under

Equity Capital 95 lacs
Preferance Share Capital 91 lacs
Total 1.86 Lacs

Now my question is Section 297 says if the paid up capital is more than 1 crore then if we enter in to contracts where directors are interested we have to take permission from Central Government.

But, Does Paid Up Capital includes Preference Share Capital or not?

Whether yes or not and what is the logic?

Thanks in advance

Vishwas

Ajay Mishra

Ajay Mishra (Expert)
Follow

13 March 2012 Hi

Paid up capital includes preference shares also. For more updates check your latest Annual Return. Also check capital clause of MOA.

For more details check master data of company on mca portal.

Regards

Message likes : 1 times

vishwas gajanan chandhaikar

vishwas gajanan chandhaikar (Querist)
Follow

14 March 2012 Dear Sir,

Thanks for your quick reply.

My question is
For Calculating 1 Crore Paid Up Capital limit regarding Section 297
Shall we include Preferance Share Capital in Paid Up Capital.

Thanks
Vishwas

Ajay Mishra

Ajay Mishra (Expert)
Follow

14 March 2012 Hi

Yes, as earlier said paid up capital includes preference shares capitals.

Message likes : 1 times

Jiten Gupta

Jiten Gupta (Expert)
Follow

14 March 2012 Agree with Ajay Sir!!

Check the following Link

https://www.mca.gov.in/Ministry/pdf/Circular_52-2011_25july2011.pdf

Message likes : 1 times

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Join the CA Students WhatsApp Community for ICAI Updates, Trending Courses & Notes!

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

Manish Tiwari

rajkumar yadav

THUSHAR MURALI KRISHNA

Abhishek Kabra

ASHOK KUMAR TEKURU

Subscribe Now

Section 297

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Senior Executive

Manager- Finance and Compliance

GST CONSULTANT

GST CONSULTANCY

Accountant

CA Final

Article Assistant

Associate CA