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Privileged Shares
Law no. 6335 inserted a fourth paragraph to Article 478 of the
New TCC which regulates privileged shares, and introduced certain
limitations with regard to privilege rights. Pursuant to the new provi-
sion, shares, shareholders that form a group, groups of share and
minorities may not be granted privilege rights regulated under the New
TCC in joint stock companies with more than the half of its capital
owned individually or collectively by the State, special provincial
administration, municipality and other public legal persons, syndi-
cates, associations, foundations, cooperatives and their superior enti-
ties; as well as the subsidiaries with more than the half of their capital
owned by such joint stock companies with the same capital percentage;
without prejudice to the privilege rights held by the said institutions.
Consequently, the amendments made in Article 401 of the Turkish
Commercial Code numbered 6762 with Law no. 6215 have been
included in the New TCC as well.
Crimes and Punishments
Important amendments have been made with Law. No. 6335 in
Article 562 of the New TCC which governs crimes and punishments.
The punishment of imprisonment pertaining to infringement of the first
and fourth paragraphs of Article 199 of the New TCC pertaining to the
reports of subsidiary and parent companies is abolished. Additionally,
the punishment of imprisonment concerning the persons who refuse to
give the ledgers, registrations and documents and the relevant infor-
mation which are required to be kept in accordance with the New TCC
to persons who are authorized to audit, persons who prevent the audi-
tors to perform their duties is abolished. Article 563 of the New TCC
which regulates that the said crimes would be pursued ex officio is also
deleted. Therefore, the criminal provisions criticized by the public are
moderated.
Incorporation of Limited Liability Companies
With the amendments made with Law no. 6335, the requirement of
payment of the capital in cash at once and in full in limited liability
companies pursuant to Article 585 of the New TCC is abolished.
COMMERCIAL LAW
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