Question

Justify the following statement.

Share certificate is a document to be send via registered post.

Answer 1

A Share Certificate is a registered document of title to the shares issued by the company under the common seal duly stamped and signed by at least two Directors and countersigned by the Secretary of the company. Every company must issue or dispatch a Share Certificate to the allottee within two months after the allotment of Shares. As per the request of the allottee, the company sends the letter for the issue of a Share Certificate.