BCOMNOTES

  UNIVERSITY OF DELHI / SCHOOL OF OPEN LEARNING  B. Com. (Program) / B. Com. (Hons.) COMPANY  LAW  N.O.T.E.S   UNIT - 5     LESSON 2 : WINDING UP INTRODUCTION - Dissolution is the legal process through which a company ceases to exist, similar to how incorporation brings a company into existence. - Winding up is a method of achieving the dissolution of a company, and until all winding up formalities are completed, the company's existence continues. - The process of winding up begins with the appointment of a liquidator by the Tribunal. - The liquidator is an insolvency professional chosen from a pool of registered professionals under the Insolvency and Bankruptcy Code, 2016. MEANING OF WINDING UP - Winding up is the process that brings an end to the life of a company. - According to Professor Gower, it involves administering the company's assets for the benefit of its members and creditors. A liquidator is appointed to take control of the comp...

UNIVERSITY OF DELHI / SCHOOL OF OPEN LEARNING  B. Com. (Program) / B. Com. (Hons.) COMPANY  LAW  N.O.T.E.S   UNIT - 5     LESSON 1 : DIVIDEND, AUDIT, AND AUDITORS INTRODUCTION OF DIVIDENDS - A dividend is a portion of the profit that is distributed among shareholders. - It is declared in the annual general meeting of the company. - Dividend distribution is contingent upon the company's profitability. - If no profit is made or there are no available funds for distribution, dividends will not be declared. - The power to declare dividends lies with the Board of Directors and does not need to be explicitly mentioned in the Memorandum of Association or Articles of Association. PROVISIONS RELATED TO PAYMENT OF DIVIDEND (INTERIM AND UNPAID &UNCLAIMED DIVIDEND) Sections 123 and 127 of the Companies Act lay down the following provisions regarding dividends: 1. Source of Dividends:    - Dividends can be declared and paid from current profit, accumu...

   UNIVERSITY OF DELHI / SCHOOL OF OPEN LEARNING  B. Com. (Program) / B. Com. (Hons.) COMPANY  LAW  N.O.T.E.S   UNIT - 4  LESSON 2: MEETINGS INTRODUCTION - A company is an artificial person created by law with a separate identity from its members. - The company cannot make decisions on its own and relies on resolutions passed in meetings of shareholders/directors. - Decisions regarding company management are initially taken by the directors in their meetings. - These decisions are then ratified in general meetings by the shareholders. - The proverb "Two heads are always better than one" highlights the importance of meetings for discussing matters of common interest. - A meeting requires the presence of two or more persons. - Meetings involve considering issues that are of common interest to the attendees. KINDS OF MEETING The meetings of a company are of three kinds: 1. Meetings of the Directors 2. Meetings of the Shareholders (I) Annual General M...