📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!
  • google app store apple app store
    • âś–

      Question

      Under the Companies Act, 2013, the concept of "One

      Person Company" (OPC) was introduced. Which of the following statements about OPC is INCORRECT?
      A A minor can become a member or nominee of an OPC Correct Answer Incorrect Answer
      B An OPC cannot carry out Non-Banking Financial Investment activities Correct Answer Incorrect Answer
      C No person can incorporate more than one OPC Correct Answer Incorrect Answer
      D The member can also be the sole director of an OPC Correct Answer Incorrect Answer

      Solution

      Explanation:  Under the Companies Act, 2013,  no minor shall become a member or nominee  of a One Person Company or hold shares with beneficial interest. The OPC is a concept introduced for the first time under this Act, allowing a single individual to form a company. All other options are correct a person cannot incorporate more than one OPC, it cannot carry out NBFI activities, and the sole member can also serve as director.

      Practice Next
      More Corporate Law Questions

      Relevant for Exams:

      ask-question