(1) A payment out of capital by a private company for the redemption or purchase of its own shares is not lawful unless the requirements of the following sections are met—
section 714 (directors' statement and auditor's report);
section 716 (approval by special resolution);
section 719 (public notice of proposed payment);
section 720 (directors' statement and auditor's report to be available for inspection).
(2) This is subject [to section 720A and] to any order of the court under section 721 (power of court to extend period for compliance on application by persons objecting to payment).
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