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Question
Explain the following term/concept.
Eligible Public Company
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Solution
(1) Eligible public company can accept deposits from members and the public.
(2) Eligible company under section 76(1) of Companies Act, 2013 means:
A company having net worth* of not less than Rs one hundred crores or
Turnover* of not less than Rs five hundred crores.
(3) Eligible public company means a company having:
- A net worth of not less than ` 100 crores or,
- Turnover of not less than ` 500 crores and which has obtained prior approval of its shareholders through special resolution for accepting public deposits.
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