https://www.taxtmi.com/caselaws?id=109506 Article 7(c) of the articles of association requires a transferor to notify the board, which must offer the shares pro rata to existing members before any transfer to third parties. Existing members acquire a purchase right only after this prescribed notice and offer, at the value fixed by the board or auditors. Non-compliance supports setting aside an unauthorised transfer and rectifying the register, but does not create a vested right to compel a sale. The Company Law Board's rectification and compensation powers do not extend to directing a member to transfer shares to specified existing members. en-us Thu, 27 Nov 2003 00:00:00 +0530 Tue, 10 Apr 2012 15:33:26 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=109506 Article 7(c) of the articles of association requires a transferor to notify the board, which must offer the shares pro rata to existing members before any transfer to third parties. Existing members acquire a purchase right only after this prescribed notice and offer, at the value fixed by the board or auditors. Non-compliance supports setting aside an unauthorised transfer and rectifying the register, but does not create a vested right to compel a sale. The Company Law Board's rectification and compensation powers do not extend to directing a member to transfer shares to specified existing members. Case-Laws Companies Law Thu, 27 Nov 2003 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=109506