Procedure/Steps to Be Followed By The Company With Regard To Transfer of Shares
Registration of Transfer
The company shall register transfer of shares, only when:
Proper Instrument of transfer, has been duly stamped
It has been properly executed b transferor, and transferee
Name, address and occupation of transferee has been delivered to the company.
Share certificate or letter of allotment has been delivered along with instrument of transfer.
Central Government has prescribed the form for transfer, which should be used in the case of all transfers of shares of a company, including a private company. The form contains the entire particular required.
When, the company received all the requisite documents it generally gives an acknowledgement for the same.
- If the instrument of transfer is received from a person other than the transferor and the shares are partly paid -up, the company has to send a notice to the transferee, and it may also send a notice to the transferor.
Before effecting any transfer, the company should ensure that the instrument is lodged within the time limit as follows: