The board of directors of Nestle India, which met today, approved a proposal to pay Rs 43.23 crore lying in the share premium account to shareholders after paying the applicable taxes.According to a release issued by the company to the BSE today, the board approved a scheme formulated under Sections 391 to 394 read with Sections 100 to 102 of the Companies Act, 1956 for utilisation of the share premium account and part of the general reserve for distribution to the shareholders."An amount of Rs 43.09 crore, that was voluntarily transferred by the company to its General Reserve Account between 1981 and 1997, in excess of the prescribed 10% of the profits of the company under the provisions of the Companies (Transfer of Profits to Reserves) Rules, 1975, would be reclassified and credited to the Profit and Loss Account for distribution to shareholders as special dividend after paying applicable taxes," the release added.
