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After completing a buy-back of equity shares, a company cannot make a further issue of the same kind of shares for a period of:
A3 months
B2 years
C1 year
D6 months
Answer & Solution
Correct answer: D. 6 months
1. Step 1: Sec 68(7) — 6 months after buy-back, no fresh issue of same kind of shares.
2. Step 2: Exceptions: bonus issue, conversion of warrants/options/preference shares/debentures.
3. Step 3: Hence (B).
_Source: ICAI BoS CA Inter Paper 1, Ch 12 "Buy-Back of Securities"_