Arkansas Code § 15-4-1015 - Management of a Capital Development Company

(a) The governing board shall manage the affairs of the capital development company.

(b) (1) If a person desires to transfer an equity interest or the tax credit associated therewith, or both, whether by act of the person or by operation of law, the name or names of the proposed transferees and the terms of the proposed transfer shall be submitted to the governing board of the company.

(2) If the requested transfer is not denied by the governing board of the capital development company within fifteen (15) days from the date of receipt of the name or names of the proposed transferees and the terms of the proposed transfer, the transfer shall be deemed approved by the governing board.

(3) If the governing board refuses to approve the transfer, the company may purchase the equity interest or tax credit, or both, in accordance with the company's governing documents.

(4) Equity interests purchased under subdivision (b)(2) of this section shall be cancelled, and equity interests in lieu thereof may be reissued and sold by the company.

(5) If the governing board approves the transfer, then the equity interest or tax credit, or both, may be transferred.

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Last modified: November 15, 2016