SECTION 25 COMPANY

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Querist : Anonymous

Querist : Anonymous (Querist)

12 March 2011 IS Rs 5lacs authorised capital limit is mandatory for public company in section 25 companies and Rs 1 lacs authorised capital limit is mandatory for private companies . pls tell me urgent

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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15 March 2011 Minimum Share Capital: As per the provision of section 3 of the companies act a private company is required to have a minimum share capital of rupees one lakh and public company is required to have minimum share capital of five lakh rupees. However Section 25 Companies have been exempted from this requirement regarding minimum share capital by insertion of sub-section (6) through Amendment Act of 2000. As such they can be registered even if they have share capital les than the statutory minimum.

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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15 March 2011 https://www.caclubindia.com/experts/what-is-sec-25-companies-597665.asp

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