Inordinate delay in registering transfers, endorsing calls, sub‑dividing and consolidating share certificates and returning defective documents
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Timely processing of share documents: listed companies must return transfers and defective papers within short prescribed periods to protect liquidity.
Government directs recognised stock exchanges to ensure listed companies complete registration of transfers, endorsement of calls and subdivision or consolidation of share certificates within two to three weeks of lodgement and, in any event, within the one month period of the listing agreement. Defective or incomplete documents must be scrutinised promptly and returned forthwith, and at latest within one week, with a memo stating the defect. Share certificates for new capital, rights or bonus issues must be issued in the market trading unit. Exchanges should require companies to adopt arrangements and delegate authority where necessary to secure compliance.