What the official record says
This Act is the Companies (Clarification of Dividend Rules in Companies) Amendment Act . This Act comes into force on the day after the date on which it receives the Royal assent. This Act amends the Companies Act 1993 (the ). In section 53, after subsection (2), insert: To avoid doubt, nothing in subsection (2) prevents the constitution of a company providing that shares in a class do not confer a right to receive dividends in the circumstances specified in the constitution. Replace section 53(2) with: The board of a company must not authorise a differential dividend unless— the amount of the dividend in respect of a share of that class is in proportion to the amount paid to the company in satisfaction of the liability of the shareholder under the constitution of the company or under the