RE: SHARES OF LATE Mr. X.
We refer to your letter dated 18.11.2002 on the above subject. We have perused the papers/documents referred to us on the above subject. It appears that Mr. x– one of the Sponsors Shareholders of the bank died on 11.04.2002. Late Mr. x was holding 7,000 shares of Tk. 100.00 each in the capital of the Bank. Against the said shares 800 Bonus Shares were issued out of the profits for the year 2001. After demise of Mr. x her wife submitted a succession certificate obtained from the Joint District Judge, 1st Court, In such circumstances certain queries have been referred to us. The queries being interconnected are dealt with together.
In the event of death of any shareholder, the legal position is that the shares of the deceased will be transmitted to his/her legal heirs by operation of law. The concerned company needs to register the transmission and enter the names of the heirs of the deceased into the Register of Members.
In the instant case NCCBL has received the Succession Certificate wherein the entitlement of each heirs has been mentioned. Pursuant to the said Succession Certificate the Bank will now register the transmission in the Register of Transfer of Shares and enter the names of the heirs into the Register of Members. Thereafter, the Bank may issue new share certificates in the names of respective heirs covering their respective shares. After completion of the aforesaid formalities the Bank will deliver all share certificates to the wife of Late Mr. x. All the said formalities should be completed after approval of the Board of Directors upon request made by the wife of Late Mr. x to the said effect.
If you have further query please contact the undersigned.
For: “The Lawyers & Jurists”