When a person holds one or more shares jointly with one or more person(s) in a Company, he/she is called Joint shareholder. Since a Joint Shareholder is different person, but in relation to private limited companies, joint shareholders are considered as a single member.
Can a private company have 2 directors?
The memorandum of incorporation (MOI) determines the minimum number of directors and alternate directors, which, in the case of a private company may not be less than one director. In the case of a standard MOI, the term of office is indefinite and there is no restriction on the number of directors.
Can a private company restrict transfer of shares?
Restriction on transfer Section 2(68) of the Companies Act 2013 provides that the Articles of a private company shall restrict the right to transfer the company’s shares. This restriction is binding upon the company and members thereof.
What is the process of forfeiture of shares?
Forfeiture of shares is a process where the company forfeits the shares of a member or shareholder who fails to pay the call on shares or instalments of the issue price of his shares within a certain period of time after they fall due.
What disqualifies a person from being a director?
00 for theft, fraud, forgery, perjury or other listed offences. In addition to the listed grounds, a company’s Memorandum of Incorporation may impose additional grounds of disqualification of its directors. A company may not knowingly permit a disqualified director to serve or act as a director.
Can a disqualified director be a company secretary?
Who can and cannot be a company secretary? The secretary of a private limited company can be an individual person, including a director or shareholder. A secretary may not be the company auditor, any employee of the auditor, or any person who is an undischarged bankrupt or disqualified director.
