What is the Nature of shares or debentures What is Numbering of shares What is  Certificate of shares Section 44, 45 and 46 of Indian Companies Act 2013

Nature of shares or debentures, Numbering of shares and Certificate of shares are defined under Section 44, 45 and 46 of Indian Companies Act 2013. Provisions under this section is:

Section 44 of Indian Companies Act 2013 "Nature of shares or debentures"

The shares or debentures or other interest of any member in a company shall be movable property transferable in the manner provided by the articles of the company.

 

Section 45 of Indian Companies Act 2013 "Numbering of shares"

Every share in a company having a share capital shall be distinguished by its distinctive number:

Provided that nothing in this section shall apply to a share held by a person whose name is entered as holder of beneficial interest in such share in the records of a depository.

 

Section 46 of Indian Companies Act 2013 "Certificate of shares"

(1) A certificate, 1[issued under the common seal, if any, of the company or signed by two directors or by a director and the Company Secretary, wherever the company has appointed a Company Secretary], specifying the shares held by any person, shall be prima facie evidence of the title of the person to such shares.

(2) A duplicate certificate of shares may be issued, if such certificate--

(a) is proved to have been lost or destroyed; or

(b) has been defaced, mutilated or torn and is surrendered to the company.

(3) Notwithstanding anything contained in the articles of a company, the manner of issue of a certificate of shares or the duplicate thereof, the form of such certificate, the particulars to be entered in the register of members and other matters shall be such as may be prescribed.

(4) Where a share is held in depository form, the record of the depository is the prima facie evidence of the interest of the beneficial owner.

(5) If a company with intent to defraud issues a duplicate certificate of shares, the company shall be punishable with fine which shall not be less than five times the face value of the shares involved in the issue of the duplicate certificate but which may extend to ten times the face value of such shares or rupees ten crores whichever is higher and every officer of the company who is in default shall be liable for action under section 447.

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1. Subs. by Act 21 of 2015, s. 7, for "issued under the common seal of the company" (w.e.f. 29-5-2015).