What is new rule regarding forfeiture of share at premium
Answers
Answered by
7
When a shareholder fails to pay the allotment money or any subsequent calls, then the company informs the shareholder by giving him/her a proper notice. If even after the notification, the shareholder fails to pay his dues, then it is considered as a case of Calls-in-Arrears. However, if even after the subsequent notice, the shareholder fails to pay the due money, then the company forfeits the shares allotted to him/her. Such cancellation of shares due to the non-payment of due calls is known as Forfeiture of Shares.
Similar questions