What are the conditions to be complied by the company to issue bonus shares ?

The following conditions need to be complied with: Issue of Bonus Shares is authorised by the articles of association; Issue of Bonus Shares is, on the recommendation of the Board, been authorised in the general meeting of the company; Company has not defaulted in payment of interest or principal in respect of fixed deposits or debt securities issued by it; Company has not defaulted in respect of the payment of statutory dues of the employees, such as, contribution to provident fund, gratuity and bonus; The partly paid-up shares, if any outstanding on the date of allotment, are made fully paid-up; The company which has once announced the decision of its Board recommending a bonus issue, shall not subsequently withdraw the same. [Rule 14 of Companies (Share Capital and Debentures) Rules, 2014]