Section 84 in The Orissa State Financial Corporation General Regulations, 2003
84. Allotment of Shares.
- (i) Subject to the provisions of Section 4, the allotment of shares shall be made to shareholders of the Corporation.(ii)An application for allotment of shares may not be entertained unless an amount of at least 25 percent of the full value has been paid with the application.(iii)The Board may make allotment to an applicant for shares either in full or in part, depending on the number of applicants from the class of shareholders to which he belongs. In so far as it is practicable, the Board shall make full allotment in respect of applications up to such number of shares as the Board may decide so that there may be as many shareholders of that class as possible; and the allotment in respect of remaining applications shall be made in part; provided, however, that no allotment shall be made for a number of shares which is less than five, or which is not a multiple of five; and provided further that the number of shares that maybe allotted to an applicant, shall in no case exceed such number of shares as maybe allocated to the class of shareholders to which he belongs.(iv)The decision of the Board as to whether on a particular application for shares,there shall be full, partial or no allotment shall be final.(v)If a person to whom shares have been allotted fails to pay the balance of the full value of shares due on the shares allotted to him by the date mentioned in the letter of allotment for the payment of the same,the amount paid with the application may be forfeited and the allotment treated as cancelled, and the Board may proceed to dispose of the said shares as if no allotment had been made in respect thereof.(vi)For the purpose of making the allotment, there shall be a Committee of the Board consisting of the Chairmen, the Managing Director and one, other Director who shall be appointed in this behalf by the Chairman. The Committee so constituted shall advise the Board in making allotments of the shares.
