Register of shares or other securities bought back

After a buy-back, rule 17 requires a register of the securities bought back in Form SH-10.

What goes in it

• Consideration paid
• Date of cancellation
• Date of extinguishing and physically destroying certificates

Mistakes that come up

• Certificates cancelled but the register of members not updated on the same day

Keeping it electronically

Section 120 allows records to be kept in electronic form in the manner the rules prescribe. Rule 27(1) of the Companies (Management and Administration) Rules, 2014 speaks of listed companies and companies with 1,000 or more shareholders, debenture holders and other security holders; for a smaller company, whether Keel holds the register itself or a sealed copy kept beside it is for the company and its company secretary to decide. Rule 28 sets the conditions for electronic records, among them protection against unauthorised alteration, a dated backup at least once a day, records that can be reproduced in readable form, and systems that can "discern invalid and altered records" (rule 28(2)(e)); under it the board names who is responsible, where backups are kept and who has access.

How it is kept on Keel

Keel does not hold this register yet. Keel holds the register of members, the register of directors and key managerial personnel, the register of charges, the register of loans, guarantees, security and acquisitions (MBP-2), the register of contracts with related parties (MBP-4) and the board minutes. Until this one is added, your firm keeps it as it does now.