call on shares under companies act
Rules about Payment of Call Money on Shares
1. The Board of Directors have Authotity to make calls on Shares by Resolution passed at the Board Meeting.
2. The application amount payable on each share must be minimum of 5% of Nominal Amount of Share.
3. The 14 days notice is required to be send by the Company to its members for each call.
4. The Gap/ Interval of 1 month is required between Two Calls.
5. Not More than 25% of Nominal Value of Shares can be called at one time.
6. A member can pay call money in advance , even if no part of that amount has been called up.
7. The Directors of the Company has power to Postpone a call once it’s made.
8. The Directors of the Company has power to Revoke a call once it’s made.
9. The members is liable to pay interest if he is fail to pay call money.
10. The AOA of the Company may have separate rules regarding Payment of Call money.