504

SECRETARIAL PRACTICE
Notice ofin- * B52.~—(1) Where a company having a share capital, whether its

ore share shares have or have not been converted into stock, has increased
its share capital beyond the registered capital, it shall within fifteen
days after the passing of the resolution authorising the increase,
give to the registrar of companies notice of the increase, and the
registrar shall record the increase.

(2) The notice to be given as aforesaid shall include such
particulars as may be prescribed with respect to the classes of
shares affected and the conditions subject to which the new shares
have been or are to be issued, and there shall be forwarded to the
registrar of companies together with the notice a printed copy of the
resolution authorising the increase.

(3) If default is made in complying with this section, the
company and every officer of the company who is in default shall
be liable to a default fine.
Power of un- 53. An unlimited company having a share capital may, by its

Ee pany resolution for registration as a limited company in pursuance of

rasoEve Share this Act, do either or both of the following things, namely :—

en (x) Increase the nominal amount of its share capital by in-
creasing the nominal amount of each of its shares, but sub-
ject to the condition that no part of the increased capital
shall be capable of being called up except in the event and
for the purposes of the company being wound up;
Provide that a specified portion of its uncalled share
capital shall not be capable of being called up except in
the event and for the purposes of the company being
wound up.
Power of com- 54.—(1) Where any shares of a company are issued for the
pany lo pay purpose of raising money to defray the expenses of the construction
capital in certain Of any works or buildings or the provision of any plant which cannot
cases. be made profitable for a lengthened period, the company may pay
interest on so much of that share capital as is for the time being
paid up for the period and subject to the conditions and restrictions
in this section mentioned, and may charge the sum so paid by way
of interest to capital as part of the cost of construction of the work
or building, or the provision of plant: :
Provided that—
(a) No such payment shall be made unless it is authorised
by the articles or by special resolution:
No such payment, whether authorised by the articles
or by special resolution, shall be made without the
previous sanction of the Board of Trade:
Before sanctioning any such payment the Board of Trade
may, at the expense of the company, appoint a person
to inquire and report to them as to the circumstances of
the case, and may, before making the appointment,
require the company to give security for the payment
of the costs of the inquiry: