COMPANIES ACT 2013: SECTION 60 - PUBLICATION OF SHARE CAPITAL
Updated: Mar 30
Provides for compulsory publication of subscribed as well as paid-up capital in the company's financial statements and other key documents, which mentions the authorised capital . If default is made, the company shall be punishable with penalty which may extent upto ₹10,000 and every officer in default pay a penalty of ₹ 5,000 for each day of default . This provision is added so that a company may not mislead the public by showing grand figure of Authorised Capital but having very little Paid- up Capital.
SECTION 60 - THE COMPANIES ACT 2013
[Compelling from twelfth September 2013]
(1) Where any notice, advertisement or other official publication, or any business letter, billhead or letter paper of a company contains a statement of the amount of the authorized capital of the company, such notice, advertisement or other official publication, or such letter, billhead or letter paper shall also contain a statement, in an equally prominent position and in equally conspicuous characters, of the amount of the capital which has been subscribed and the amount paid-up.
(2) If any default is made in complying with the requirements of subsection (1), the company shall be liable to pay a penalty of ten thousand rupees, and every officer of the company who is in default shall be liable to pay a penalty of five thousand rupees, for each default.