To consider a body corporate as a foreign company, a place of business in India is to be established. State the activities that do not constitute carrying of business in India.

According to section 2(42) of the Act a "foreign company" means any company or body corporate incorporated outside India which — (a) has a place of business in India whether by itself or through an agent, physically or through electronic mode; and (b) conducts any business activity in India in any other manner. It may be noted that in case of P.J. Johnson v. Astrofiel Armadorn (1989) 3 Comp LJ 1 , it was held that the following activities inter-alia, do not constitute carrying on business: Carrying small transactions Operating bank accounts Transferring of shares or other securities Procuring orders Creating or financing of debts, charges etc., on property Securing or collecting debts or enforcing claims to property of any kind. However, the term "Business activities" is not defined under the Companies Act, 2013 and rules made thereunder.