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Querist : Anonymous

Querist : Anonymous (Querist)

17 January 2012 Dear Sir

Please define the Terms
1. Level I Company
2. Level II Company and
3. Level III Company

what is the difference between these company

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)

17 January 2012 Level I Company:

Enterprises, which fall in any one or more of the following categories, at any time during the accounting period, are classified as Level I enterprises:
i)Enterprises whose equity or debt securities are listed whether in India or outside India.
ii)Enterprises, which are in the process of listing their equity or debt securities as evidenced by the board of directors’ resolution in this regard.
iii)Banks including co-operative banks.
iv)Financial Institutions
v)Enterprises carrying on insurance business.
vi)All commercial, industrial and business reporting enterprises, whose turnover for the immediately preceding accounting period on the basis of audited financial statements exceeds Rs. 500 million. Turnover does not include ‘other income’.
vii)All commercial, industrial and business reporting enterprises having borrowings, including public deposits, in excess of Rs. 100 million at any time during the accounting period.
viii)Holding and subsidiary enterprises of any one of the above at any time during the accounting period.

Level II Company:
Enterprises, which are, not Level I enterprises but fall in any one or more of the following categories are classified as Level II enterprises;
i)All commercial, industrial and business reporting enterprises, whose turnover for the immediately preceding accounting period on the basis of audited financial statements exceeds Rs. 4 million, but does not exceed Rs. 500 million. Turnover does not include ‘other income’.
ii)All commercial, industrial and business reporting enterprises having borrowing, including public deposits, in excess of Rs. 10 million but not in excess of Rs. 100 million at any time during the accounting period.
iii)Holding and subsidiary enterprises of any one of the above at any time during the accounting period.

Level III Company:
Enterprises, which are not covered under Level I and Level II are considered as Level III enterprises.

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