Companies Act, 1990
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Amendments to the Act of 1983. |
232.—The Act of 1983 is hereby amended— | |
(a) by the substitution in section 41 (4) of the following paragraph for, paragraph (a): | ||
“(a) the redemption of preference shares in pursuance of section 65 of the Principal Act or the redemption or purchase of shares in pursuance of Part XI of the Companies Act, 1990;”; | ||
(b) by the deletion of section 43 (13); | ||
(c) by the insertion after section 43 of the following new section: | ||
“Accounting for own shares. | ||
43A.—Where a company or a nominee of a company holds shares in the company or an interest in such shares, such shares shall not be shown in the balance sheet of the company as an asset, but— | ||
(a) the deduction of the cost of the acquired shares from the profits available for distribution, and | ||
(b) the nominal value of such shares, | ||
shall be disclosed in the notes to the accounts and the profits available for distribution shall accordingly be restricted by the amount of such deduction.”; | ||
(d) by the substitution in section 51 (2) of the following paragraph for paragraph (b): | ||
“(b) the redemption of preference shares pursuant to section 65 of the Principal Act out of the proceeds of a fresh issue of shares made for the purposes of redemption;”; and | ||
(e) by the addition of the following paragraph after the paragraph inserted by paragraph (d): | ||
“(bb) the redemption or purchase of shares pursuant to Part XI of the Companies Act, 1990 out of the proceeds of a fresh issue of shares made for the purposes of the redemption or purchase and the payment of any premium out of the company's share premium account on a redemption pursuant to section 220 in the said Part;”. |