FAQs on Reduction of Share capital – Complete Prospective Q 1. What is meant by Reduction of share capital? Reduction is just way to do reducing the amount of capital via cancellation and repurchase of shares. Q 2. What is meant by Reduction of share capital under the companies act? As per the section 66(1)…
Personal Guarantee of Director, Promoter, Chairman – Covered under Insolvency Proceedings under Insolvency Proceeding Code ? LALIT KUMAR JAIN V. UNION OF INDIA The normal banking practice involves application procedure alongwith with a guarantor for granting of loans. In case of companies, it was almost every time, the director, promotor or chairman of the company,…
FAQs on Director Identification number ( Complete Prospective) Q 1. What do u mean by DIN in company law? As per section 153 of the companies act, Every Individual intending to be appointed as director of a company shall make an application Electronically in FORM DIR-3 for allotment of Director Identification number to the central…
Compounding Under Company Law Compounding Compounding of an offence is a settlement instrument, by which, the litigation be avoid by giving the opportunity to the offender by giving an option to pay money to avoid prosecution, As per the Black’s Law Dictionary “Compound” means “to get the matter settle by a money payment against liability”. The…
FAQs on Mutual Fund – Complete Prospective Q 1. Concept of Mutual Fund Mutual Fund is vehicle to mobilize money from investors, to invest in different markets and securities. In other words through investment in mutual fund, a small investor can avail a small investor can avail of professional fund management services offered by an…
FAQs on Virtual Meeting – Complete Prospective Q 1. Explain the concept of Virtual meeting? Virtual meeting is a meeting that does not involve a physical gathering, but which take place in an electronic form, On the other hand, electronic voting has also been permitted by law for the shareholders meeting in certain cases, but…
FAQs on Creation and Modification of Charges – Complete Prospective Q 1. What is a Charge? A charge is a security given for securing loss or Debenture by way of mortgage on the assets of the company. Normally, the Debentures and other borrowings of the company are secured by a charge on the assets of the…
FAQs on Sweat Equity Shares– Complete Prospective Q 1. Explain concept of Sweat Equity shares:- Sweat equity shares is as valuable as Cash equity. As per section 2(88) of the companies act, 2013 ‘Sweat Equity shares‘ are issued by a company to its Directors or employees at a discount or for consideration, other than cash, for…
Corporate Social Responsibility Applicability, Taxation and, other related terms Q 1. What is Corporate Social Responsibility? We live a dynamic life in a world that is growing more complex. Social culture and Economic issues have now become part of our daily life. CSR concept launched by advocated Mahatma Gandhi. Corporate Social Responsibility is an important…
FAQ s Chairman of Company – Complete Prospective Q 1. What is the Importance of a Chairman and what’s his role towards the company? Chairman is a person who provides to safeguard the integrity of the meeting by ensuring sufficient security and Identification procedure and to ensure availability of proper video conferencing or other audiovisual…