11(1)The first condition of this paragraph is that the shares must be—
(a)subscribed for wholly in cash, and
(b)fully paid up on the investment date.
Shares are not fully paid up for the purposes of paragraph (b) if there is any undertaking to pay cash to the CDFI at a future date in connection with the acquisition of the shares.
(2)The second condition is that the shares must not carry—
(a)any present or future right to be redeemed during the five year period, or
(b)any present or future right to be converted into or exchanged for a loan which is, or securities, shares or other rights which are, redeemable within that period.
Commencement Information
I1Sch. 16 para. 11 in force at 23.1.2003 by S.I. 2003/88, arts. 2, 3