Forfeiture of Shares – National General Industries Ltd

National General Industries Ltd. has announced that it has forfeited 10,47,600 partly paid-up equity shares of ₹10/- each, as per the exchange notice dated 30 January 2026. The forfeiture has been carried out due to non-payment of allotment/call monies by the concerned shareholders. The forfeited shares are identified through distinctive numbers as provided in Annexure I of the exchange notice.

What does “forfeiture of shares” mean?
Forfeiture of shares occurs when a shareholder fails to pay the amount due on their shares—such as allotment or call money—within the stipulated time. In such cases, the company has the right to cancel (forfeit) those shares. Once forfeited, the shareholder loses all rights associated with the shares, including ownership, dividends, and voting rights. The company may choose to reissue these shares at a later date, subject to applicable regulations.

In this case
National General Industries Ltd. has taken this action in line with the applicable provisions of the Companies Act and its Articles of Association, as communicated in the official exchange notice (Scrip Code: 531651).

Why does this matter?
Forfeiture of shares helps companies maintain financial discipline and a cleaner capital structure. Trading members and investors are advised to take note of this development while monitoring the company’s equity structure and shareholding pattern.