Attempt the following :
What is letter of allotment of shares? What are its contents?
Solution
1. LETTER OF ALLOTMENT
STAR INDUSTRIES LIMITED
50 /A ,Kasarwadi, Pimpri - Pune - 411018
Tele No.24371235 htt://www starind.in
Email - starind@gmail.com
Fax :24371255 Date:18th June. 2012
Ref : D35/2012
Mr. Bhave singh.P chavan
A/24,Sundarban,
Bhandarkar Road, Khar,Mumbai - 53
Sub : Allotment of shares
Dear Sir,
This is to inform you that your Application No.555341 dated 25th May. 2012 was considred at the board meeting , held on 15th June,2012. As per the Board Resolution No.0052 details of allotment of equity shares are given below.
| 1 | 2 | 3 | 4 | 5 |
| No. of Shares applied | No. of Shares Allotted | Dintintive numbers of shares | Amount received as application money | Amount due on allotment |
| 100 | 100 | 2801 to2900 | Rs.250 | Rs.250 |
You are hereby requested to pay the aforesaid amount due on allotment mentioned in column 5 to our Company's Bankers viz Bank of India at any of its branches. Please make it convenient to pay the allotment money on or before 6 July, 2011. Duly signed and executed share certificate shall be exchanged agianst this letter of allotment and allotment receipt.
Thanking you. Yours faithfully,
For Star Industries Ltd.
Sd/-
Secretary
ALLOTMENT RECEIPT
Star Industries Ltd.
50/A, Kasarwadi, Pimpri - Pune - 411018
Tele No. 24371235 http://www.omtexclasses.com
Ref D 35/2012
Received form Shri. Bhave Singh P Chavan a sum of Rs. Tow Hundred and Fify only as allotment money on One Hundred equity shares of Rs. 10 each.
For Bank of India
Sd/-
Cashier.
ALLOTMENT SLIP
Allotment slip (forwarded to company)
Ref : D 35/2012
Received from Shri Bhave Singh P.Chavan a sum (Two Hudred Fify) on behalf of Star Industries Ltd., as allotment money on one hundred equity shares numbered 2801 to 2900.
FOR BANK OF INDIA
Sd/-
Cashier
NOTE: -
This letter informs a share applicant about allotment of shares. Intimation about allotment money due from allottee is also given in this letter. Allotment Receipt with perforation is attached with this letter.
This letter contains the following information
i) Reference number of share application and the number of shares applied for.
ii) Number of shares allotted
iii) Amount payable on allotment
iv) The due date for the payment of allotment money
v) Place of payment
vi) Interest to be charged on allotment money received after the due date
vii) Consequences of non payment of allotment money
viii) The letter of allotment is duly dated, stamped. and signed by proper authority.
Letter of allotment has to be preserved by the allottee as the share certificate is issued by the company in exchange of this letter.
