Companies Act, 1956
Section - 294AA - Power of Central Government to prohibit the appointment of sole selling agents in certain cases
[Power of Central Government to prohibit the appointment of sole selling agents in certain cases.294AA. (1) Where the Central Government is of opinion that the demand for goods of any category, to be specified by that Government, is substantially in excess of the production or supply of such goods and that the services of sole selling agents will not be necessary to create a market for such goods, the Central Government may, by notification in the Official Gazette, declare that sole selling agents shall not be appointed by a company for the sale of such goods for such period as may be specified in the declaration.(2) No company shall appoint any individual, firm or body corporate, who or which has a substantial interest in the company, as sole selling agent of that company unless such appointment has been previously approved by the Central Government.(3) No company having a paid-up share capital of rupees fifty lakhs or more shall appoint a sole selling agent except with the consent of the company accorded by a special resolution and the approval of the Central Government.(4) The provisions of sub-sections (5), (6) and (7) of shall, so far as may be, apply to the sole selling, or the sole purchasing or buying, agents of a company.(5) A com .... To read the full section download the app from Google Play store
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