Q1
(i) Out of the following statements, which one is correct with regard to listing of securities ––
(a) The shares and debentures of a public company may be quoted on a
(b) The shares and debentures of a private company may be quoted on a stock exchange
(c) Only the shares and not the debentures of a public company may be quoted on a stock exchange
(d)Only the and not the debentures of a may be quoted on a stock exchange.
v) Out of the following statements, which one is incorrect as regard to the Director Identification Number (DIN) –
(a) DIN is a unique identification number and once obtained is valid throughout the lifetime of a director
(b) DIN is mandatory for all directors of Indian companies whether they are citizens of India or not
(c) DIN is mandatory for directors of foreign company having branch offices in India
(d) A single DIN is required for an individual irrespective of number of directorships held by him.
(iii) The companies which need not have their own articles of association are –
(a) Unlimited companies
(b) Companies limited by guarantee
(c) Private companies limited by shares
(d) Public companies limited by shares.
Q2
State, with reasons in brief, whether the following statements are correct or incorrect:
(i) A company, being a body corporate, can sue and be sued in its own name.
(ii) A government company is neither a government department nor a government establishment.
(iii) Under section 14, the memorandum of association of a company may be in any form.
(iv) A director is liable for acts of his co–directors.
(v) Every shareholder has the right of nomination of shares.
Q3
(ii) The voting power of a guarantee company having share capital is determined by the __________ and not by
the guarantee.
(0)
(iii) __________ is the total of the called-up capital remaining unpaid. (0)
(iv) No person shall hold office at the same time as small shareholders’ director in more than __________
companies.
(0)
(v) __________ includes a reorganisation of share capital of company by of shares of different
classes or division of shares into shares of different classes or by both these methods.
Q4
Fortune Ltd. refused to enter the name of the minor son of a deceased member in the register of members on the
ground that the minor cannot enter into a contract as per section 11 of the Indian Contract Act, 1872. The shares
are fully paid-up. Comment on the decision of the company and suggest remedies available.
Piyush Ltd. decided to buy-back its shares with the approval of the Board of directors. As the Company Secretary
of the company, advise the Board about the conditions and limitations in this regard.
Q5
(a) Can a company registered under the Companies Act, 1956 commence business of banking in India ? Discuss.
(b) Can a listed company change its name as and when necessary ? Give reasons in support of your answer. (0)
(c) Grace Ltd., a public limited company has received an application from Rosy for transmission of certain shares in
her name. Rosy, being a widow of a shareholder, applies for transmission of the shares standing in the name of her
deceased husband without producing a succession certificate. Can the company transfer the shares of the
deceased member ? Discuss.
(d) Vayu Ltd. holds more than 50% of nominal value of the equity capital of Stream Ltd. In these circumstances,
Stream Ltd. wants to become a member of Vayu Ltd. Can Stream Ltd. do so ? Discuss the rights of the said
subsidiary in such a case.
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