Regarding issuance of share certificates

As per Section 56 of the Companies Act, 2013 if the company does not issue share certificates within two months of its incorporation, the company shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees and every officer of the company who is in default shall be punishable with fine which shall not be less than ten thousand rupees but which may extend to one lakh rupees.

Also, it is always advisable to go for the stamping of share certificates as without payment of stamp duty on the same, the share certificates have no value. However, it is not compulsory to go for stamping of share certificates before transfer of equity shares. You can apply for stamping of share certificate even after the transfer of equity shares.

See generally we try to open the bank accounts within two months of incorporation and bring the subscripttion money within that period only and issue the share certificates. However, you can issue the share certificates even if the subscripttion money has not been yet received by executing the board resolution that the subscribers have agreed to pay in full as and when the bank account is opened, also they are the members of the company from the date of incorporation, so you can issue the share certificates before having the subscripttion money also, but if possible try to bring the money within two months of incorporation.

But you cant issue share certificates after two months otherwise it will attract the penalty as mentioned under section 56 of the Companies Act, 2013.

Yes we can issue the share certificates even if we have not received the subscripttion money.

Tanya kindly check the following link, you will get your answer.

https://www.caclubindia.com/articles/non-receipt-of-subscripttion-money-29084.asp

You are not satisfied with that also. 

See it is not written anywhere in the Companies Act, 2013 but we can just conclude it from the law.

I have already faced this situation many a times, also i have tried to search as much as possible on the same in the past but finally what i have concluded is that we cant issue shares after two months of incorporation.

If you consult other people they dont even care about section 56 and they are issuing share certificates after two months also as there is no check on the same but what we generally advice and concluded from the search is that we can issue shares before having the subscripttion money.