Allot shares
Money has come in. What is filed?
The short answer
The board allots only after the money is received through a banking channel, and only inside the authorised capital. PAS-3 within 30 days. Certificates follow section 56, unless the credit is in demat.
A company. An LLP does not allot shares. It changes contribution in the LLP agreement and files the LLP form.
VerifiedAct-sourced — Sections 39, 42 and 56.
Step by step
1
Room in the capital
If the allotment would cross the authorised capital, SH-7 has to be approved first.
2
Money, then the board
Allot only after the money is received through a banking channel. A private placement under section 42 has its own offer letter, a separate bank account, and 60 days to allot.
3
PAS-3
Within 30 days of the allotment. A bonus issue is also an allotment.
4
Certificates
Section 56: within two months, unless the credit is in demat.
5
Sign, upload, pay
A director submits the web form at mca.gov.in as a business user. The SRN appears in My Application. Download the PDF, sign it with the DSC already associated to the DIN, DPIN, PAN or membership number on the form, upload that PDF against the same SRN, and pay.
Forms
- PAS-3 — Return of allotment.
Papers
- Board resolution
- List of allottees
- PAS-4 and PAS-5 where it is a private placement
Where this filing fails
- A private company that offers to more than 200 persons in a financial year, counted as section 42 counts them, has made a public offer.