Gaining Control in a Private Company

CLAUSES TO BE INCLUDED IN THE ARTICLES OF ASSOCIATION TO GAIN CONTROL IN A PRIVATE COMPANY

  • Appointed as a life director. S. 255 CAMA.
  • Power given to a particular person under the MEMART to appoint and remove the other directors pursuant to section 41(3) CAMA
  • Appointment as Chairman/MD of the Board of Directors to preside over company meetings. He has the right to casting vote in the event of equality of votes during voting on any resolution- section 240 CAMA.
  • Substantial share holding to give due advantage during voting by demand of a poll.
  • To be in custody of the common seal of the company.
  • Creation of classes of shares with preferential rights with benefit of payment of accumulated dividend upon profit and winding up.
  • Pre-emptive right upon transfer of shares.
  • Pro-rata distribution of unissued shares

WHAT ARE THE DOCUMENTS REQUIRED FOR STAMPING

  • Two copies of memorandum of association, section 27(6) CAMA.
  • Two copies of articles of association, section 34(4) CAMA.
  • Two copies of the application for registration of company

Terms Used:
CAMA: Companies And Allied Matters Act