Amendment status not verified — confirm the current text below against the official source.
(1) On and after the commencement of the State Financial Corporations (Amendment) Act, 2000, the Financial Corporation may-- (a) issue redeemable preference shares on such terms and in such manner as the Board may decide; and (b) convert, such number of equity shares as it may decide into redeemable preference shares, with the prior approval of the State Government and the Small Industries Bank, by a resolution passed in the general meeting of the shareholers: Provided that such conversion shall in no case reduce the equity shares held by the parties referred to in clauses (a), (b) and (c) of sub-section (3) of section 4 to less than fifty-one per cent. of the issued equity capital of the Financial Corporation. (2) The redeemable preference shares referred to in sub-section (1) shall-- (a) carry such fixed rate of dividend as the Financial Corporation may specify at the time of such issue or conversion; and (b) neither be transferable nor carry any voting rights. (3) The redeemable preference shares referred to in sub-section (1) shall be redeemed by the Financial Corporation in such instalments and in such manner as the Board may determine.] Ins. by Act 39 of 2000, sec. 6 (w.e.f. 05/09/2000).