Monday, May 27, 2013

Statutory Books and Registers under Companies Act, 1956 - REGISTER OF BUY-BACK OF SECURITIES

Section and Name           Section 77A(9)  REGISTER OF BUY-BACK OF SECURITIES
Requirements and Format          "The register should contain information relating to the date of Board or special resolution authorizing buy-back; quantum authorized to be bought back; date of completion of buy-back; description of securities bought back and, in respect of each folio number/client ID number or certificate number of securities bought back, the date of buy-back;
number of securities bought back; category to which they belong (preference/ equity/ employees’ stock option/ sweat equity, etc.); name of last holder of securities; reference to entry in the register of members; mode of buy-back; nominal value of securities and consideration paid for buy-back; date of payment; date of cancellation of securities bought back; date of extinguishment and physical destruction of securities bought back."
A separate register should be maintained for each buy-back undertaken by the company.
"Entries in the register should be made in chronological order. Entries in the register should be made forthwith at every stage such as completion of buy-back, cancellation and extinguishment of securities."
Where to Kept  The register should be maintained at the registered office of the company.
Inspection          The register is not open for inspection.
Authentication Entries in the register should be authenticated by the secretary of the company or by any other person authorized by the Board for the purpose, by appending his signature to each entry.

Preservation      The register should be preserved for a minimum period of 8 years from the date of completion of buyback and should be kept in the custody of the secretary of the company or any other person authorized by the Board for the purpose.              

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