Share application form to accompany abridged prospectus - Companies Law - Circular No. 3/92

Circular No. 3/92 [F. No. 1/6/88 ‑ CL ‑ V], dated 10 ‑ 4 ‑ 1992. [Issued by the Government of India, Ministry of Law, Justice and Company Affairs, Department of Company Affairs]. Subject:- Share application form to accompany abridged prospectus In Circular No. 1 of 1992, dated January 9, 1992 (printed as CLARIFICATION 1), it was brought to the notice of all concerned that as per the provisions of section 56(3) of the Companies Act, 1956 the share application form should be a part of the memorandum containing salient features of the prospectus (abridged prospectus being attached to it along a perforated line). The abridged prospectus and the share application form should bear the same printed number. The investor may detach the share application form along the perforated line after he has had an opportunity to study the contents of the abridged prospectus, before submitting the same to the company or its designated bankers. 2. Representations have been made to the Government that one application form to every abridged prospectus might increase the printing charges and that the abridged prospectus with two application forms, forming part of the same be allowed to be issued. The Government has accepted this suggestion it is open to the companies and their merchant - bankers to print two application forms, accompanying the abridged prospectus, being attached to it, along the perforated line, bearing separate printed numbers. Care should, however, be taken that the abridged prospectus is printed in such a way that it is easily readable.