Legal Question in Administrative Law in India

Re: Acquisition

It is not possible to give details of all the formalities by mail.Please ccontact personally on phone 020-5434569.

Re: Acquisition

The question asked didnot contain the relevant details about both the companies, wheather they are registered partnerships,individual,or incorporated under the Indian Companies Act? Also the details in relation to acquisition are not supplied.Hence without the necessary details legal opinion can not be given,Rajendra Babbar Advocate.

Re: Acquisition

We presume that both the companies referred to by you are "companies" with the meaning of the Companies Act, 1956 and not partnership or other firms or other entities.

An application will be required to be made before the appropriate High Court(s) under Section 391(1) and 393 of the Companies Act, for the purpose of holding/dispensing with meetings of the respective shareholders of the two companies, for the purpose of approving the Scheme of Arrangement.

Thereafter, another application will have to be filed under Section 391(2) and 394 of the Companies Act, after obtaining the shareholders' consent. The No-objection of the Regional Director, Registrar of Companies will also have to be obtained.

After this, the Court will normally approve the Scheme of Arrangement and the transfer of unit will automatically be effected from the date of the Court's order.

Whether Stamp duty on the transfer is required to be paid or not will depend on the relevant State Government laws.

The other method of transferring/acquiring a unit is by simply executing and registering a Sale Deed between buyer and seller, as is normally done for all property transactions.