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When a Diminution of Share capital is not a reduction of Share capital?

Avatar 37a3bd7bc7328f0ead2c0f6f635dddf60615e676e6b4ddf964144012e529de45 kruthika asked almost 4 years ago

Hi Can I know, When a Diminution of Share capital is not a reduction of Share capital?

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2 Answers
Avatar 37a3bd7bc7328f0ead2c0f6f635dddf60615e676e6b4ddf964144012e529de45 veeru answered over 3 years ago

Where the company cancels shares which have not been taken or agreed to be taken by any person [Section 94(1)(e) ] Where the redeemable preference shares are redeem – Section 80 Where any shares are forfeited for non-payments of calls and such forfeiture amounts to reduction of capital

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Open uri20170510 32134 1uwcnoc?1494421631 Shubhangi Jain answered almost 4 years ago

- Where the company cancels shares which have not been taken or agreed to be taken by any person [Section 94(1)(e) ] - Where the redeemable preference shares are redeem – Section 80 - Where any shares are forfeited for non-payments of calls and such forfeiture amounts to reduction of capital - Where the company buys – back its own shares under Section 77A

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