What is Section 43 of Companies Act?

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(b) preference share capital: Provided that nothing contained in this Act shall affect the rights of the preference shareholders who are entitled to participate in the proceeds of winding up before the commencement of this Act.

What is Section 44 of Companies Act, 2013?

Nature of shares or debentures. The shares or debenture or other interest of any member in a company shall be movable property transferable in the manner provided by the articles of the company.

What is the main purpose of Companies Act 1956?

In our country, the Companies Act, 1956 primarily regulates the formation, financing, functioning and winding up of companies. The Act prescribes regulatory mechanism regarding all relevant aspects including organisational, financial and managerial aspects of companies.

What is DRR account?

Key Takeaways. A debenture redemption reserve (DRR) is a requirement imposed on Indian corporations that issue debentures. A DRR requires the corporation to create a debenture redemption service to protect investors from the possibility of a company defaulting.

What are the features of Companies Act 1956?

List of Feature of Company as per Indian Companies Act 1956

Incorporated Association.
Separate Legal Entity.
Limited Liability.
Transferability of Shares.
Perpetual Existence.
Common Seal.

How is a company formed under Companies Act 1956?

In India companies are formed and registered under the Companies Act 1956. Incorporation of a company requires registration of formal documents with the Registrar of Companies. Memorandum of Association is the important document which contains the fundamental conditions and purposes for which a company is formed.

What is the main purpose of company Act?

Its purpose is to separate the legal identity of the Company from the personal identity of its shareholders, by the creation of a separate corporate and legal identity allowing the owners not to be personally liable for the liabilities of the Company.

What are the preamble sections of the Companies Act 1956?

[Act No. 1 OF 1956] PART I : PRELIMINARY Sections 1. Short title, commencement and extent 2. Definitions 2A. Interpretation of certain words and expressions 3. Definitions of “company”, “existing company”, “private company” and “public company” 4. Meaning of “holding company” and “subsidiary” 4A.

What is a private company under Companies Act 1988?

8[(14) In this section “company” means a private company and includes a private company which had become a public company by virtue of section 43A of this Act.] 1. Substituted by the Companies (Amendment) Act, 1988 w.e.f. 31-5-1991.

Is the Companies Act 2006 section 43 up to date?

Companies Act 2006, Section 43 is up to date with all changes known to be in force on or before 23 March 2022. There are changes that may be brought into force at a future date. Changes that have been made appear in the content and are referenced with annotations. Revised legislation carried on this site may not be fully up to date.

Does Section 108 of the Companies Act apply to private companies?

(13) Nothing in this section and section 108, 109 or 110 shall prejudice any power of a private company under its articles to enforce the restrictions contained therein against the right to transfer the shares of such company].