New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    Which section allows certain classes of public companies

    to list their securities on permitted stock exchanges in permissible foreign jurisdictions or such other jurisdictions, as may be prescribed?
    A Section 5 Correct Answer Incorrect Answer
    B Section 8 Correct Answer Incorrect Answer
    C Section 11 Correct Answer Incorrect Answer
    D Section 15 Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    The government has permitted Indian companies to list on foreign exchanges, subject to certain conditions.  Currently, overseas listings by local listed entities are carried out through American Depository Receipts (ADRs) and Global Depository Receipts (GDRs). The corporate affairs ministry has notified the relevant section under the companies law in this regard.Section 5 allows certain classes of public companies to list their securities on permitted stock exchanges in permissible foreign jurisdictions or such other jurisdictions, as may be prescribed.

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