57.
| (1) A company limited by shares may, if so authorized by its articles, issue preference shares which are, or at the option of the company are to be liable, to be redeemed: |
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| (2) The redemption of preference shares under the provisions of this section may be effected subject to such terms and in such manner as may be provided by the articles of the company. |
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| (3) The redemption of preference shares under the provisions of this section by a company shall not be taken as reducing the amount of the company's authorized share capital |
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| (4) Where in pursuance of the provisions of this section a company has redeemed or is about to redeem any preference shares, it shall have power to issue shares up to the nominal amount of the shares redeemed or to be redeemed, as the case may be, as if those shares had never been issued, and accordingly the share capital of the company shall not for the purposes of any enactments relating to stamp duty be deemed to be increased by the issue of shares in pursuance of the provisions of this subsection: |
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| (5) The Capital Redemption Reserve Fund may, notwithstanding anything in this section, be applied by the company in paying up un issued shares of the company to be issued to members of the company as fully-paid bonus shares. |
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Sri Lanka Consolidated Acts