MOA Amendment
A Memorandum of Association (MoA) represents the charter of the company. It is a legal document prepared during the formation and registration process of a company to define its relationship with shareholders and it specifies the objectives for which the company has been formed. The company can undertake only those activities that are mentioned in the MoA. As such, the MoA lays down the boundary beyond which the actions of the company cannot go.
- The changes to the object clause in the case of a Private Limited Company can be made without any hassles. But in case if the same is to be done for any company that has raised funds from the public then a special resolution is required to be passed. Also, this needs to be published both in English newspaper and another local language newspaper of where the registered office of the company is located. The details also should be made available on the website of the company along with the requisite justifications and modifications.
- Also, all the dissenting shareholders should be allowed to exit by the promoters and the shareholders that possess control of the company. This opportunity should be given with the regulations that are specified by the Securities Exchange Board of India (SEBI).
- A change in the clause needs to be made to make the liability of the Directors unlimited. As the liability of the shareholders cannot be unlimited and a resolution is to be made to make this change in the liability by passing a resolution.
- A copy of the resolution must be filed with the registrar within 30 days of the change made.
This change can be done at a normal general meeting also. As a subdivision of the shares or the consolidation of shares, this change may be required. Other reasons to make alterations to the capital clause can be the conversion of stock and annulment of the unsubscribed capital. These alterations must be filed within the registrar within 30 days.
- The changes to the object clause in the case of a Private Limited Company can be made without any hassles. But in case if the same is to be done for any company that has raised funds from the public then a special resolution is required to be passed. Also, this needs to be published both in English newspaper and another local language newspaper of where the registered office of the company is located. The details also should be made available on the website of the company along with the requisite justifications and modifications.
- Also, all the dissenting shareholders should be allowed to exit by the promoters and the shareholders that possess control of the company. This opportunity should be given with the regulations that are specified by the Securities Exchange Board of India (SEBI).