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Conflict between sec 43 and 48

24 April 2020

sec 43 talks about share with deffrenial right
which clearly says one kind of share can not be converted into shares withh deffrntial right
and sec 48 talks about variation in rights of shares

plz any one explain this confliction

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2 Replies

VINAYAK (Assistant Finance Manager) (46 Points)
Replied 25 April 2020

Plain reading of Both Sections clearly says... Section 43 says about the KINDS of Share Capital.. Section 48 about the CLASS of share Capital...Here need to understand is under section 48 with the same kind like Equity Share can have further classes of shares like class A class B which allows by section 48 subject to MOA N AOA provisions if the company.. Hope I could able to answer your question..

md shahadat (88 Points)
Replied 06 June 2020

But i m getting confuse one says one kind of share can not be converted into shares with deffrential voting right
and other section is for change in share voting right
why so