Issuance of Physical Share Certificate (When the Shares are not in DEMAT Form)

The Company shall issue any share certificate, after the surrender of the allotment letter to the Company, by the Allottees. (In case the allotment letter is lost or destroyed, then the board may impose such reasonable terms, in respect to the support of evidence and indemnity and payment out of pocket expenses, incurred by the Company in the search of evidence, as they deems fit.

The share certificate shall be in the prescribed format i.e., FORM SH-1. The format of form SH-1 shall be available at the below-given link:

(http://ebook.mca.gov.in/notificationdetail.aspx?acturl=6CoJDC4uKVUR7C9Fl4rZdatyDbeJTqg38iIjdoCCVy5GpVbWshrjQcPUsJi/7Daq)

Following are the necessary points to be mentioned in the share certificate (Mandatory points) (FORM SH-1):

COMPANY SHARE CERTIFICATE SHALL include:

  1. Name of the Company;
  2. CIN of the Company
  3. Registered Office Address of the Company
  4. Amount paid-up thereon
  5. Class of the shares; Equity/Preference shares
  6. Folio Number
  7. Certificate Number.
  8. Name of the Shareholder; in whose favour share certificate is being issued
  9. Distinctive Number of the shares

However, in case the Company has a common seal, if any, it shall be affixed in the presence of the persons, who are required to sign the share certificate.

As per section 179 of the Companies Act, 2013, the power for the issuance of share certificate vested to the Board of directors of the Company by passing Bard Resolution in the duly held Board Meeting of the Company.

The signing of the Share Certificate

  1. Two Directors; or
  2. One director and the Company Secretary (CS); In case the Company has appointed a Company Secretary.

The time limit for issuance of a certificate of shares (section 46):

S.no.

Particulars

Due date

1. In the case of Incorporation of Company

(Issuance of shares certificate to the Subscriber to the MOA)

Within 2 months from the date of Incorporation of Company
2. Other cases: (In case of allotment of shares) Within 2 months from the date of allotment of shares
3. In case of Transfer or transmission of shares Within 1 month from the date of Transfer/ Transmission of shares

4.

In case of Allotment of debentures

Within 6 months from the date of allotment of debentures

STAMPING OF SHARE CERTIFICATE:

Stamping on the share certificate is to be done within 30 days from the date of issuance of the share certificate, on this website https://shcilestamp.com/

Thanks & Best Regards
CS Riya Khurana
[email protected]
Contact No.: 8810649870

Cs Riya Khurana

Cs Riya Khurana