Section 65 of CA 2013 : Section 65: Unlimited Company To Provide For Reserve Share Capital On Conversion Into Limited Company
CA 2013
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Explanation using Example
Imagine a company, XYZ Unlimited, which operates without the liability protection for its members that is characteristic of a limited company. The members of XYZ Unlimited decide they want to introduce such protection and change the company's status to a limited company. They pass a resolution in accordance with Section 65 of the Companies Act, 2013, and decide to do two things:
- Firstly, they agree to increase the nominal amount of the company's share capital. This means that if the original nominal value of each share was INR 100, they m...
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