📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!
  • google app store apple app store
    • ✖

      Question

      Which statement is correct relating to debentures issued

      by a company___________
      A Debentures carrying voting right can be issued Correct Answer Incorrect Answer
      B Debentures carrying an option to convert such debentures into shares can be issued Correct Answer Incorrect Answer
      C Secured debentures may be issued by a company subject to such terms and conditions as may be prescribed Correct Answer Incorrect Answer
      D All the above Correct Answer Incorrect Answer
      E Both (b) & (c) Correct Answer Incorrect Answer

      Solution

      Section 71 Debentures- (1) A company may issue debenture with an option to convert such debentures into shares, either wholly or partly at the time of redemption Provided that the issue of debentures with an option to convert such debentures into shares, wholly or partly, shall be approved by a special resolution passed at a general meeting, (2) No company shall issue any debentures carrying any voting rights, (3) Secured debentures may be issued by a company subject to such terms and conditions as may be prescribed.

      Practice Next
      More Other Laws and Acts Questions

      Relevant for Exams:

      ask-question