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Price:Rs.150/-
Dividend is a return on the
investment made in the share capital of a company and is a direct means of
rewarding the shareholders for investing in the company. Dividend is one of the financial
parameters on which the investors gauge a company’s
performance.
Various principles have been
laid down in the Secretarial Standard on Dividend (SS-3) which the
corporate sector is expected to adhere to while ascertaining the amount
available for distribution as dividend, declaring dividend, ascertaining
the entitlement to Dividend and making payment to the registered holders
of shares. Principles have
also been laid down with respect to declaration and payment of Interim
Dividend, treatment of unpaid Dividend, revocation of Dividend as well as
the preservation of Dividend warrants, maintenance of Dividend registers
and disclosure requirements.
The Secretarial Standard on
Dividend has been supplemented by a Guidance Note on Dividend. While the Secretarial Standard
lays down the principles, the Guidance Note deals with procedures,
interpretation and practical aspects in connection with declaration and
payment of Dividend in order to equip the members and others to comply
with those principles.
This Guidance note is
immensely beneficial not only to members to comply with the Secretarial
Standard on Dividend but also companies in adhering to the norms of good
Corporate Governance.
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