Section 586(3)

If a company allots a share in contravention of this section— the share is to be treated as if one-quarter of its nominal value, together with the whole of any premium on it, had been received, and the allottee is liable to pay the company the minimum amount which should have been received in respect of the share under subsection (1) (less the value of any consideration actually applied in payment up, to any extent, of the share and any premium on it), with interest at the appropriate rate.

← 2 · All articles · 4 →

Source: legislation.gov.uk · retrieved 2026-09-04