 

(b) Provided that in computing profits any amount representing unrealised gains,
notional gains or revaluation of assets and any change in carrying amount of an
asset or of a liability on measurement of the asset or the liability at fair value shall
be excluded; or out of money provided by the Central Government or a State
Government for the payment of dividend by the company in pursuance of a
guarantee given by that Government.

(©) Provided that no dividend shall be declared or paid by a company from its
reserves other than free reserves.

(a) Provided also that no company shall declare dividend unless carried over
previous losses and depreciation not provided in previous year or years are set
off against profit of the company for the current year.

 

 

 

 

 

 

 

 

 

 

 

 

 

(4 ___| The Board may, before the declaration of any dividend in any financial year, transfer | Carry forward of
such percentage of its profits for that financial year as it may consider appropriate to | Profits
the reserves of the company.

(© ___| No amount paid or credited as paid on a share in advance of calls shall be treated for | Payments in
the purposes of this Article as paid on the share. advance

(© | @ Ail dividends shall be apportioned and paid proportionately to the amounts paid | Dividends to be

or credited as paid on the shares during any portion or portions of the period in | apportioned
respect of which the dividend is paid; but if any share is issued on terms providing
that it shall rank for dividend as from a particular date such share shall rank for
dividend accordingly.
(b) Subject to the rights of persons, if any, entitled to shares with special rights as to
dividends, all dividends shall be declared and paid according to the amounts paid
or credited as paid on the shares in respect whereof the dividend is paid.

(7) __ | The Board may deduct from any dividend payable to any member all sums of money, | No. member to
if any, presently payable by him to the Company on account of calls or otherwise in | receive dividend
relation to the shares of the Company. whilst being

indebted to the
Company and
Company’s right
to reimbursement
therefrom

(8) __ | The Board may retain dividends payable upon shares in respect of which any person | Retention of
is, under the Transmission Clause hereinbefore contained, entitled to become a | dividends
member, until such person shall become a member in respect of such shares.

(9) _ | Any dividend, interest or other monies payable in cash in respect of shares may be | Dividend how
paid by electronic mode or by cheque or warrant sent through the post directed to the | remitted
registered address of the holder or, in the case of joint holders, to the registered address
of that one of the joint holders who is first named on the register of members, or to
such person and to such address as the holder or joint holders may in writing direct.

(10) | Every such cheque or warrant shall be made payable to the order of the person to | Instrument of
whom it is sent. Payment

(11) _| Payment in any way whatsoever shall be made at the risk of the person entitled to the | Discharge to
money paid or to be paid. The Company will not be responsible for a payment which | Company
is lost or delayed. The Company will be deemed to having made a payment and
received a good discharge for it if a payment using any of the foregoing permissible
means is made.

(12) Any one of two or more joint holders of a share may give effective receipts for any | Receipt of one
dividends, bonuses or other monies payable in respect of such share. holder sufficient

(13) No dividend shall bear interest against the Company. No interest on

dividends

(14) _| The waiver in whole or in part of any dividend on any share by any document (whether | Waiver of
or not under seal) shall be effective only if such document is signed by the member | dividends

 

(or the person entitled to the share in consequence of the death or bankruptcy of the

 

 

394

 
