Welcome To Contract Easily! ( Consult, Contract, Share,download Legal Matters Easily )
Contract Easily
- Phone : +919669664421 Available: 11:00 am - 6:00 pm (IST)
- Email : [email protected]
- Consult Now
Welcome To Contract Easily! ( Consult, Contract, Share,download Legal Matters Easily )
Contract Easily
Stamp paper is not included with this agreement and is for illustration purposes only. If e -stamp is applicable in your city you can order it during checkout.
Stamp paper is not included with this agreement and is for illustration purposes only. If e -stamp is applicable in your city you can order it during checkout.
Guidelines for Drafting FORM NO. 38 OF THE COMPANIES ACT, 1956
Where it is Used:
Form No. 38 is used under the Companies Act, 1956, for filing an application to the Company Law Board for the issue of redeemable preference shares. This form is essential when a company intends to issue preference shares that are redeemable after a specified period.
Guidelines:
Accurate Information: Provide precise details about the company, the proposed redeemable preference shares, and the terms of redemption. Accuracy is crucial for legal compliance.
Terms of Redemption: Clearly outline the terms and conditions of the redemption, including the redemption date, redemption premium, and any relevant provisions.
Legal Compliance: Ensure the form aligns with the legal requirements stipulated in the Companies Act, 1956, for the issue of redeemable preference shares. Seek legal advice to confirm compliance.
Board Resolution: Include a board resolution supporting the application for the issue of redeemable preference shares. Document the resolution in compliance with legal formalities.
Common Mistakes to Avoid:
Incomplete Information: Fill out all sections of Form No. 38 thoroughly. Any omissions or incomplete details may lead to rejection or delays in processing.
Mismatched Information: Ensure consistency across the form. Information in different sections should align to avoid discrepancies.
Failure to Attach Necessary Documents: Include all required supporting documents, such as the board resolution and any other documents specified in the form. Failure to do so may result in non-compliance.
Ignoring Legal Formalities: Be aware of the specific legal formalities and timelines associated with filing the application. Failure to comply may result in legal complications.
Form No. 38 is crucial for companies seeking to issue redeemable preference shares. Adherence to these guidelines ensures a comprehensive and accurate filing, minimizing the risk of legal complications and promoting regulatory compliance.