alleryStart learning →Under the Companies Act 2013, issue of shares at a discount is generally:
AAllowed up to 10%
BAllowed with SEBI nod
CAllowed by simple vote
DProhibited by the Act
Answer & Solution
Correct answer: D. Prohibited by the Act
Section 53 bars a company from issuing shares at a discount, apart from sweat equity and limited exceptions.
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