Under Section 2(71) Companies Act 2013, a 'public company' is defined as:
Answer & Solution
Correct answer: B.
1. Section 2(71) defines 'public company' as a company which (a) is not a private company; (b) has a minimum paid-up share capital as may be prescribed.
2. The proviso states that a company which is a subsidiary of a company, not being a private company, shall be deemed to be public company for the purposes of this Act even where such subsidiary continues to be a private company in its articles.
3. The minimum paid-up requirement was removed by the 2015 Amendment.
4. A public company need not be LISTED — listing is a separate concept under SCRA, 1956.
5. Hence option B is correct.
_Source: Companies Act 2013 (Act 18 of 2013), Govt. of India MCA — Companies Act 2013, Section 2(71)_
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