Question

Study the following case/situation and express your opinion.

There is X company in which capital contribution by different entities is as follows: Madhya Pradesh Government 35%, Maharashtra Government 35%, and Government of India 30% of the company.

1. Find out the type of this company.
2. Tell any two features of this company.
3. Give an example of this type of company.

Answer 1

1. ‘X’ company is a Government Company.
2. Separate legal entity and Registration under the Companies Act, 2013 are the features of ‘X’ Government Company.
3. Hindustan Machine Tools (HMT), State Trading Corporation (STC), are examples of the Government Company.