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M/s Sunstar Ltd. is given offer to employees of the company for right issue. Mr. Ram is employee of company accept the offer of company but later he realize that he has not able to take that shares then he renounce his shares to Mr. Shyam. Whether Mr. Ram can do so?
Yes
No
Partly Yes
Partly No
Cannot be determined
company cannot offer to right issue to employees
Report error
RAHUL AGARWAL
Company can't issue right shares to employees. So, there is no question of renunciation of rights. Employees can only get ESOP which can't be renounced. In both the cases, answer is " NO"
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