(1) No allotment of securities of a company offered to the public for subscription shall be made unless the amount stated in the prospectus as the minimum amount has been subscribed and the sums payable on application for the amount so stated have been paid to and received by the company by cheque or other instrument.

(2) The amount payable on each security shall not be less than five per cent. of the nominal amount of the security or such other percentage or amount, as may be prescribed by the Securities and Exchange Board.

(3) If the stated minimum amount has not been subscribed and the sum payable on application is not received within a period of thirty days from the date of issue of the prospectus, or such other period as may be specified by the Securities and Exchange Board, the amount received under sub-section (1) shall be returned within such time and manner as may be prescribed.

(4) Whenever a company having a share capital makes any allotment of securities, the company shall file with the Registrar a return of allotment within thirty days thereof, in such manner as may be prescribed, including the complete list of allottees, the full address including e-mail address, PAN and details as may be necessary.

(5) No company offering securities to the public shall have any arrangement for the disposal of securities by a promoter or any other person.