94A. Share capital
to stand increased where an order is made under section 81(4).—(1)
Notwithstanding anything contained in this Act, where the
Central Government has, by an order made under sub-section
(4) of section 81, directed that any debenture or loan or
any part thereof shall be converted into shares in a company,
the conditions contained in the memorandum of such company
shall, where such order has the effect of increasing the nominal
share capital of the company, stand altered and the nominal
share capital of such company shall stand increased by an
amount equal to the amount of the value of the shares into
which such debentures or loans or part thereof has been converted.
(2) Where, in pursuance of an option attached to debentures
issued or loans raised by the company, any public financial
institution proposes to convert such debentures or loans into
shares in the company, the Central Government may, on the
application of such public financial institution direct that
the conditions contained in the memorandum of such company
shall stand altered and the nominal share capital of such
company shall stand increased by an amount equal to the amount
of the value of the shares into which such debentures or loans
or part thereof has been converted.
(3) Where the memorandum of a company becomes altered, whether
by reason of an order made by the Central Government under
sub-section (1) of section 81 or sub-section (2) of this section,
the Central Government shall send a copy of such order to
the Registrar and also to the company and on receipt of such
order, the company shall file in the prescribed form, within
thirty days from the date of such receipt, a return to the
Registrar with regard to the increase of share capital and
the Registrar shall, on receipt of such order and return,
carry out the necessary alterations in the memorandum of the
company.
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