Forfeiture of share of minority shareholders

Kanchi Agarwal (Technical Support & Student)   (479 Points)

10 June 2013  


Please solve my query below.


Can fully paid up shares of minority shareholders in the company be forfeited by majority shareholders in any kind of circumstances?

If minority shareholders are involve in wrong doing against the company or creating problems in the operations of the company by creating dead lock in the general meeting etc, then is it possible that majority shareholders forfeit shares of such minority shareholders. If it is possible please tell me the procedure for doing so.


I think it is not covered by any section of law. Please share any case law in this regard.

Thank you