Part 6 — Management and Administration Division 1 Membership
124 Power to issue redeemed debentures
issued, the company, unless any provision to the contrary, whether
express or implied, is contained in the articles or in any contract
entered into by the company, or unless the company has, by
passing a resolution to that effect or by some other act, manifested
its intention that the debentures be cancelled, has and shall be
deemed always to have had power to reissue the debentures, either
by reissuing the same debentures or by issuing other debentures in
their place, and on such a reissue the person entitled to the
debentures has, and shall be deemed always to have had, the same
priorities as if the debentures had never been redeemed.
(2) When a company has power to reissue debentures that have
been redeemed, particulars with respect to the debentures that may
be so reissued shall be included in the balance sheet of the
company.
(3) If with the object of keeping debentures alive for the purpose
of reissue they have been transferred to a nominee of the company,
a transfer from that nominee shall be deemed to be a reissue for the
purposes of this section.
(4) If a company has deposited any of its debentures to secure
advances from time to time on current account or otherwise, the
debentures shall not be deemed to have been redeemed by reason
only of the account of the company having ceased to be in debt
while the debentures remained so deposited.
RSA 2000
(5) The reissue of a debenture or the issue of another debenture in
its place under the power by this section given to or deemed to
have been possessed by a company shall not be treated as the issue
of a new debenture for the purposes of any provision limiting the
amount or number of debentures to be issued.
(6) Nothing in this section prejudices any power reserved to a
company by its debentures or the securities for them to issue
debentures in the place of any debentures paid off or otherwise
satisfied or extinguished.
RSA 1980 cC-20 s124