Company Law : CONCEPTUAL ANALYSIS SERIES – I 185. Loan to Directors, etc. (1) No company shall, directly or indirectly, advance any loan,...
Company Law : Conversion of Public Company Into Private Company is governed by following Provisions of Companies Act and Rules- 1) Relevant Sect...
Goods and Services Tax : Article explains Documents required/checklist for GST registration of Proprietorship, Partnership, Hindu Undivided Family,Limited ...
Company Law : ‘Deemed Public Company’ is nowhere specifically defined under Companies Act, 2013 or its Rules. So, it is only after a...
Company Law : Formation of a private limited Company has its own sets of advantages and disadvantages. It is seemingly the best form of business...
SEBI : Capital market regulator, SEBI today said both public and private sector companies will have to increase public shareholding to a ...
Company Law : The Ministry of Corporate Affairs (MCA) has decided to relax the norms for companies to maintain minimum paid-up capital. Accordin...
Statutory Remedy Against Refusal to Transfer Shares Under Section 58 of the Companies Act 2013 The process to be followed by the shareholders, if the company refuse to transfer their shares. The power can be exercised by the shareholders as per the provisions of section 58 of the Companies Act, 2013. Statutory Remedy Against Refusal […]
Bangladesh, a neighbouring country to India and a member of South Asian Association for Regional Co-operation (SAARC) adopts an ‘Open Door Policy’ to attract the foreign investors particularly through industrialization. The Bangladesh Export Processing Zone Authority popularly known as BEPZA is the administrative authority facilitates foreign investments in the EPZs. EXPORT PROCESSING ZONES At present, […]
Under Section 2(18) of the Income tax a company is said to be a company in which the public are substantially interested in the following circumstances: (a) if it is a company owned by the Government or the Reserve Bank of India or in which not less than forty per cent of the shares are held (whether singly or taken together) by the Government or the Reserve Bank of India or a corporation owned by that bank; or
Capital market regulator, SEBI today said both public and private sector companies will have to increase public shareholding to a minimum of 25 per cent by August 2013 and there will be no relaxation of the guidelines. SEBI Chairman Mr. U K Sinha told this to reporters on the sidelines of Bombay Stock Exchange function in Mumbai today.
Distinction Between A Public Company And a Private Company – Following are the main points of difference between a Public Company and a Private Company :- 1. Minimum Paid-up Capital : A company to be Incorporated as a Private Company must have a minimum paid-up capital of Rs. 1,00,000, whereas a Public Company must have a minimum paid-up capital of Rs. 5,00,000.
Guiding instructions for availability of names:-The procedure for scrutinizing the availability of names of new companies has recently been re-examined carefully in this Department, having taken into account the difficulties experienced by some Registrars in the following the instruction given to them vide Department’s Letter No 10/(19)-RS/61, dated 15-03-1962.
The Ministry of Corporate Affairs (MCA) has decided to relax the norms for companies to maintain minimum paid-up capital. According to the Companies Act 1956, the minimum paid-up capital for a private company is Rs 1 lakh and for a listed company Rs 5 lakh. According to official sources, while a company can be set up with any amount, but within a time-frame of two years it should raise the capital to Rs 1 lakh and Rs 5 lakh for unlisted and listed companies, respectively.
Section 26. There may be in the case of public company limited by shares and there shall in the case of an unlimited company or a company limited by guarantee or a private company limited by shares, be registered with the memorandum, articles of association signed by the subscribers of the memorandum, prescribing regulations for the Company.
Company Law is very complicated and interesting subject. If we look at all the corporate regulations or law, it is very clear that it focuses mainly on the interests of the shareholders. The liability of the members is limited in limited companies and as such the shareholders will be clueless often when their investment in the Company is not properly managed.
We all know about the requirements of forming a Company in India. Incorporation of a Company, as a secretarial practice, may not be a complicated exercise. It is not difficult to get the Director Identification Numbers (DIN) for the proposed directors in the Company to be incorporated, it is not difficult to get Digital Signatures, it is not difficult to find the availability of name with the Registrar of Companies by filing e-form and it may not be difficult to comply with all the requirements and submitting an application to the Registrar of Companies
