Hello sir can i know that How Govertment co. will exempt from dematerialisation of share. as per latest notification .

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Hello sir can i know that How Government co. will exempt from dematerialization of share. as per latest notification .

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    The requirement for dematerialization of securities is not applicable to an unlisted Government Company as per Rule 9A sub rule 11 of the Companies (Prospectus and Allotment of Securities) Rules, 2014.

    Relevant Provisions/Notifications:
    Rule 9A was inserted into the Companies (Prospectus and Allotment of Securities) Rules, 2014 on 10th September 2018, which mandated every unlisted public company to issue the securities only in dematerialized form and that transfers by any shareholder were required to be in dematerialized form from 2nd Oct 2018 onwards.

    On 22nd January 2019, Rule 9A was amended by inserting, sub- rule 11 which exempted a Nidhi Company, a Government Company, and a wholly owned subsidiary from the requirement to dematerialize their shares.

    Please note that SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and SEBI ( Issue of Capital and Disclosure Requirements) 2018, disallows listed companies (including a Listed Government Company) from accepting request for transfer of securities which are held in physical form and issuing securities in physical form respectively.

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