Reduction of share capital requires a special resolution and Tribunal confirmation unless statutory mechanisms apply. Reduction of Share Capital denotes diminution of issued, subscribed and paid up capital and, when authorized by the articles, may be effected by a company limited by shares or guarantee by a special resolution subject to Tribunal confirmation. Measures include extinguishing or reducing liability on unpaid shares, canceling paid up capital lost or unrepresented by assets, and paying off surplus paid up capital, with alteration of the memorandum as necessary. Creditors entitled to object must consent, be discharged, or have debts secured before the Tribunal will confirm the reduction.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Reduction of share capital requires a special resolution and Tribunal confirmation unless statutory mechanisms apply.
Reduction of Share Capital denotes diminution of issued, subscribed and paid up capital and, when authorized by the articles, may be effected by a company limited by shares or guarantee by a special resolution subject to Tribunal confirmation. Measures include extinguishing or reducing liability on unpaid shares, canceling paid up capital lost or unrepresented by assets, and paying off surplus paid up capital, with alteration of the memorandum as necessary. Creditors entitled to object must consent, be discharged, or have debts secured before the Tribunal will confirm the reduction.
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