Section 241: Dividend to be paid only out of profits
The Companies Act, 2017 · Federal Acts · in_force
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241. Dividend to be paid only out of profits.—Any dividend may be paid by a company either in cash or in kind only out of its profits. Explanation.—The payment of dividend in kind shall only be in the form of shares of listed company held by the distributing company.
Effective date: 2017-05-30
Related sections
Section 240: Certain restrictions on declaration of dividendSection 242: Dividend not to be paid except to registered shareholdersSection 239: Rights of debenture-holders to obtain copies of financial statementsSection 243: Directors not to withhold declared dividendSection 238: Power of Commission to require submission of additional statements of accounts andSection 244: Unclaimed shares, modaraba certificates and dividend to vest with the Federal
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