MENU

Section 825 of The Companies Act No. 17 of 2015: Consequence of order imposing restrictions

    

(1) The following restrictions apply to securities that are subject to an order made by the Attorney General under section 812 or an order of the Court made under 827—
(a) any transfer of the securities or, in the case of unissued shares, any transfer of the right to be issued with them, and any issue of them, is void;
(b) no voting rights are exercisable in respect of the securities;
(c) no further securities may be issued in respect of them or as a result of any offer made to their holder;
(d) except in a liquidation, no payment may be made of any money due from the company in respect of the securities (whether in respect of capital or otherwise).
(2) Subsection (1) is subject to any directions or conditions to the contrary specified in the order.
(3) If securities are subject to the restriction referred to in subsection (1)(a), an agreement to transfer the securities or, in the case of unissued shares, the right to be issued with them is void.
(4) Subsection (3) is subject to—
(a) the terms of any directions given or conditions imposed under section 812 or under section 827; or
(b) an agreement to transfer the securities on the making of an order for their transfer under section 827.
(5) If securities are subject to the restriction referred to in subsection (1)(c) or(d), an agreement to transfer a right to be issued with other securities in respect of those securities, or to receive any payment on them (otherwise than in a liquidation) is void.
(6) Subsection (5) is subject to—
(a) the terms of any directions given or conditions imposed under section 812 or 827;
(b) an agreement to transfer any such right on the transfer of the securities on the making of an order for their transfer under section 827.

« Previous:   Section 824 - Offences against this Part committed by bodies corporate          Next: »   Section 826 - Offence to attempt to evade restriction imposed by or under this Part

Disclaimer: This document is not to be taken as legal advise.

Enhance Your Research with Bookmarks and Annotations

Here's how you can use these features:

  • To bookmark this page, click the "Bookmark this Page" button below the document title.
  • To add an annotation, highlight text in the document and select "Add Annotation" from the toolbar that appears.
  • These features are great for organizing your research and keeping track of key information.
  • You can view and manage your bookmarks and annotations on your Bookmarks and Annotations page.

Cited By:

More Sections