Clause 55

Notwithstanding any provisions in this Act or in the memorandum or articles of a company to which this section applies each equity share issued by such a company after the date of the coming into operation of this Act shall confer the right at a poll at any general meeting of the company (subject as provided in subsection (1) of section 148) to one vote, and, to one vote only for each dollar or part of a dollar that has been paid up on that share.

Where any company to which this section applies has, prior to the commencement of this Act, or, while it was a company to which this section did not apply, issued any equity share which does not comply with subsection (1) of this section, the company shall not issue any invitation to subscribe for or to purchase any shares or debentures of such company until the voting rights attached to each share of that company have been duly varied so as to comply with subsection (1) of this section.

For the purposes of this section any alteration of the rights of issued preference shares so that they become equity shares shall be deemed to be an issue of equity shares.

The Minister may, by order published in the Gazette, declare that the provisions of subsection (1) of this section shall apply to all or any equity shares or any class of equity shares which have been issued before the date of the coming into operation of this Act by a company to which this section applies and which is specified in the declaration and thereupon the provisions of that subsection shall apply to such equity shares so issued by such company from such date as is specified in the declaration being a date not less than one year after the making of the proclamation.

This section applies to —

Any person who makes any invitation to the public in breach of subsection (2) of this section shall be guilty of an offence under this Act and shall be liable on conviction to imprisonment for a term not exceeding two years or to a fine not exceeding five thousand dollars.