Shyam Agarwal wants to incorporate a company in the name and style of Raghav Forest Corporation Ltd. in the state of Himachal Pradesh. Can a company be incorporated with the said name? Referring to the provisions of the
CS Executive · Company Law · PYQS · December 2020
Shyam Agarwal wants to incorporate a company in the name and style of Raghav Forest Corporation Ltd. in the state of Himachal Pradesh. Can a company be incorporated with the said name? Referring to the provisions of the Companies Act, 2013 and you being a practicing Company Secretary, advise the promoters.
Answer & Explanation:
In terms of Sec 4(3)(b) of the Companies Act, 2013 read with Rule 8B(u) of the Companies (Incorporation) Rules, 2014, the word "Forest Corporation" shall not be used in the name of a company in English or any of the languages depicting the same meaning unless the previous approval of the Central Government has been obtained for the use of any such word or expression. Hence, Raghav Forest Corporation Ltd. cannot be formed without such previous approval of the Central Government for the use of any such word or expression. The promoters of the proposed company have been advised accordingly.
Topics: Incorporation of Company and Matters Incidental Thereto
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