Housing society share certificate
Nilesh
(Querist) 25 April 2014
This query is : Resolved
Dear Sir,
We are a housing society registered in January 2104.
We are now in the process of issuing share certificates to our total 67 members (61 residential and 6 shops in front of building)
Can you please guide us re the process? Also, do we issue 5 or 10 shares per member? And will the value of each share be Rs. 50 or Rs. 100?
As chairman of the society, I will be highly obliged for any help rendered re this issue.
Thanking you in advance and in anticipation,
Nilesh Ashar
ajay sethi
(Expert) 25 April 2014
for individual members share certificate should be 5 shares per member . the share certificate should reflect the name of members of flat . if flat is in joint names both names should appear on share certificate . it should be signed by chairman , secretary and treasurer of the society
Nilesh
(Querist) 25 April 2014
Ajay Sir, thank you for your reply.
Our bye laws say "Authorised Share Capital of Rs. 3,35,000 divided in to 6,700 shares of Rs. 50/- each."
So, as suggested by you, do we offer 5 shares of Rs. 50/- each? Or Rs. 100/- each?
Thank you Sir
M V Gupta
(Expert) 25 April 2014
Follow ur bye law. As the bye law prescribes face value as Rs.50/- u should issue 5 shares of Rs.50/- each. Dont forget to affix the Society's common seal on the share certificates. Also pass MC resolution to issue the share certificates to all persons whose names appear in the members register
Nilesh
(Querist) 26 April 2014
Thank you for the clarification Mr. Gupta. We will act accordingly.
ajay sethi
(Expert) 26 April 2014
issue 5 shares of Rs 50 each .
Nilesh
(Querist) 26 April 2014
Thank you Ajay Sir. You have a great weekend, while we plan out the Certificates.
T. Kalaiselvan, Advocate
(Expert) 26 April 2014
