VOLUNTARY WINDING UP UNDER THE SUPERVISION OF COURT

-
According to section 396 of Companies Ordinance, a voluntary winding up of a company can also be carried under the strict registration of the court. 1.  Resolution At first, company has to pass special resolution for the voluntary winding up of the company. 2.  Supervision Order Following are the common grounds on which the court issues the supervision order: 1.  The liquidator performs his duty in partial manner. 2.  The winding up resolution is obtained by fraud. 3.  The liquidator does not strictly observe the rules of winding up the company 3.  Power of the Court The court has the power to appoint an additional liquidator, or to remove any liquidator. 4.  Dissolution After the supervision order is made, the liquidator may exercise his powers in winding up of a company.  On completion of winding up, the court will make an order that the company is dissolved. Share Capital; In simple words, the term “capital” means the particular amoun...
7 comments

EXTRAORDINARY GENERAL MEETING

-
All the general meetings other than annual general meeting and statutory meeting shall be called extraordinary general meetings.  There is no time limit for it.  It may be held from time to time

1.  Right to Call Meeting

(a)  The directors of the company may call extraordinary general meeting for doing some urgent business. 

(b)  This meeting can also be called by the directors, on the request of shareholders, having not less than one tenth of the voting power. 

(c)  In case the directors fail to call the extraordinary general meeting within 21 days, the shareholders themselves may call the meeting.  In such, case, meeting must be held within 3 months.

2.  Notice

To call the extraordinary meeting, 21 days notice is served.

3.  Procedure

The shareholders have to submit their demand to the secretary of the company.  With the consultation of directors, he will arrange to call the meeting.  The company bares the expenses of the meeting.

4.  Objects

•  To issue the debentures 
•  To alter the memorandum and articles
•  To alter the share capital of the company

Comments

Post a Comment

Popular posts from this blog

PROCEDURE OF FORMATION OF A JOINT STOCK COMPANY IN PAKISTAN

-
Joint Stock Company is the third major form of business organization. It has entirely different organizational structure from sole proprietorship and partnership. There are two advantages of Joint Stock Company. First of all, it enjoys the advantage of increased capital. Secondary, the company offers the protection of limited liability to the investors. The law relating to Joint Stock Company has been laid in Companies Ordinance, 1984, which came into force on January 1, 1985 in Pakistan. Following are the important stages or steps for the formation of a joint stock company: Formation of joint Stock Company PROMOTION STAGE The promoters do the basic work for the start of a commercial or an industrial business on corporate basis. Promotion is the discovery of ideas and organization of funds, property and skill, to run the business for the purpose of earning income. Following steps are involved in the stage of promotion. 1. Idea about Business Before starting the busine...
Read more

VOLUNTARY WINDING UP UNDER THE SUPERVISION OF COURT

-
According to section 396 of Companies Ordinance, a voluntary winding up of a company can also be carried under the strict registration of the court. 1.  Resolution At first, company has to pass special resolution for the voluntary winding up of the company. 2.  Supervision Order Following are the common grounds on which the court issues the supervision order: 1.  The liquidator performs his duty in partial manner. 2.  The winding up resolution is obtained by fraud. 3.  The liquidator does not strictly observe the rules of winding up the company 3.  Power of the Court The court has the power to appoint an additional liquidator, or to remove any liquidator. 4.  Dissolution After the supervision order is made, the liquidator may exercise his powers in winding up of a company.  On completion of winding up, the court will make an order that the company is dissolved. Share Capital; In simple words, the term “capital” means the particular amoun...
Read more

DIRECTOR’S MEETINGS

-
DIRECTOR’S MEETINGS The members of the company elect their representatives to run the business and management of the company.  These representatives are called the directors of the company and they are different in numbers in different companies.  All the business affairs are settled with mutual consultation of all directors.  So, the meeting called for directors to discuss the policies or to take the decisions is called directors’ meeting. 1.  When is it held? This meeting must be held at least once in three months and at least four times in a year. 2.  Notice Notice of every meeting must be sent to each directors, otherwise the proceedings of the meeting may be declared void. 3.  Objects •  To allot shares •  To invest company’s fund •  To recommend dividend •  To keep reserve out of profit •  To make loans •  To appoint officers or committee •  To discuss the contracts of the company WINDING UP OF COMPANY A c...
Read more