Companies. {Ch. 31. No. 1.

 

Private compantes,
28. (1) lor the purposes of this Ordinance, the expression
private company” means a company which by its
articles
(a) restricts the right to transfer its shares; and
(6) limits the number of its members to fifty, not
including persons who are in the employment of the
company and persons who, having been formerly in
the employment of the company, were while in that
employment, and have continued after the determina-
tion of that employment to be, members of the com-
pany; and
(c) prohibits any invitation to the public to subscribe
for any shares or debentures of the company.
(2) Where two or more persons hold one or more
shares Ina company jointly, they shall, for the purposes of
this section, be treated as a single member.

 

29. (1) Ifa company, being a private company, alters its
articles in such manner that they no longer include the
provisions which, under the last foregoing section of this
Ordinance, are required to be included in the articles of a
company in order to constitute it a private company, the
company shall, as on the date of the alteration, cease to bea
private company and shall, within a period of fourteen days
alter the said date, deliver to the Registrar for registration
i. prospectus or a statement in licu of prospectus in the form

and containing the particulars set out in the Third Schedule
to this Ordinance.

(2) If default is made in complying with subsection (1)
of this section, the company and every officer of the com-
pany who is in default shall be liable to a default fine of
two hundred and fifty dollars.

(3) Where the articles of a company include the
provisions aforesaid but default is made in complying with
any of those provisions, the company shall cease to be
entitled to the privileges and exemptions conferred on
private companies under the provisions contained in section
30, subsection (3) of section 108, subsection (1) of section 128
and paragraph (4) of section 161, and thereupon the said

provisions shall apply to the company as if it were not a
private company:

351

Meaning of
* private
company.”

Cireum-
stances in
which a
company
ceases to be,
or to enjoy
privileges of,
a private
company.