TaxTMI Login
Just a moment...
Press 'Enter' to add multiple search terms. Rules for Better Search
of 
of 
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of of 
All Circulars
of of All Circulars
Note
Bookmark
Share
Don't have an account? Register Here
of <h1>Government Warns Against Misuse of Private Share Placements; Violations of Companies Act, Section 67(3) to Face Penalties.</h1> The circular issued by the government addresses the misuse of private placement of shares from promoters' quotas by companies, highlighting the illegal involvement of brokers and intermediaries in soliciting investments through unofficial channels. It warns against advertising such placements as confidential or private and collecting unofficial premiums from investors. According to Section 67(3) of the Companies Act, 1956, these practices do not qualify as private placements and must adhere to prospectus provisions. The circular cautions companies, promoters, and intermediaries that these actions violate the Act and will result in penalties. Additionally, private companies are prohibited from marketing rights of renunciation publicly.
TaxTMI 
TaxTMI 
