Introduction to Company Law

WHICH OF THE FOLLOWING IS NOT THE CHARACTERISTIC OF A COMPANY?

• It has a separate legal entity

• It can sue and be sued

• It comes to an end if all members die

Minimum and maximum number of members allowed in a public company are:

• 2 and 200

• 7 and no upper limit

• 2 and no upper limit

• 7 and 200

ILLEGAL ASSOCIATION IS A BUSINESS BEING RUN FOR PROFIT WITH MORE THAN _______ MEMBERS, WITHOUT BEING REGISTERED AS A COMPANY

• 150

• 200

• 50

• 10

AS PER SEC. 422, THE TRIBUNAL AND APPELLATE TRIBUNAL SHALL MAKE EVERY EFFORT TO DISPOSE OFF CASES WITHIN 9 MONTHS FROM DATE OF COMMENCEMENT OF PROCEEDINGS

• True

• False

Answer explanation

It is 3 months and Chairman may extend for further 90 days

GOVENMENT COMPANY IS ONE IN WHICH NOT LESS THAN 51 % OF _________ IS HELD BY CENTRAL GOVT. OR STATE GOVT. OR PARTLY BY CENTRAL GOVT AND PARTLY BY ONE OR MORE STATE GOVTS.

• paid-up share capital

• authorized share capital

• issued capital

MAXIMUM DURATION FOR WHICH A COMPANY CAN RETAIN 'DORMANT STATUS' IS :

• 2 years

• 5 months

• 3 years

• 5 years

APPEAL AGAINST ORDER OF NCLAT CAN BE FILED WITHIN 60 DAYS TO_______

• High Court

• Supreme Court

• NCLT

• MCA

MINIMUM NUMBER OF DIRECTORS REQUIRED IN A PRIVATE COMPANY IS 3

• True

• False

A PRODUCER COMPANY CANNOT BE CONVERTED INTO PUBLIC COMPANY

• True

• False

LIFTING OF CORPORATE VEIL WILL NOT TAKE PLACE IN THE FOLLOWING CASE:

• Winding up of company

• Fraudulent conduct of business

• Civil and Criminal liability for misleading prospectus

• Illegalities committed by creating multiple companies