Which of the following statement is false ........

Accountancy (Phase -I & II) Bonus and Right issue

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Which of the following statement is false:

Buy back must be authorised by articles of company

A special resolution must be passed for buy back.

Shares can be partly paid up

The ratio of debt owed by the company is not more than twice the capital and its free reserves after such buy back.

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Explanation:

According to section 80 of the companies act, 2013 no such shares shall be redeemed unless they are fully paid up. The partly paid up shares cannot be redeemed. If they are partly paid in that case a final call be made to convert them from partly paid to fully paid only then redemption can be carried out.