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Study the following case/situation and express your opinion. CC Company Ltd. is an eligible Public Company as per the Companies Act, 2013 with reference to accepting Public Deposits. Can the company - Secretarial Practice

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Question

Study the following case/situation and express your opinion.

CC Company Ltd. is an eligible Public Company as per the Companies Act, 2013 with reference to accepting Public Deposits.
  1. Can the company accept deposits in joint names?
  2. Can the company accept deposits from its members?
  3. Can the company issue secure deposits?
Short/Brief Note
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Solution

  1. Yes, the company can accept deposits in the joint names of the depositors. But there should not be more than 3 names.
  2. According to the Companies Act of 2013, CC Company Ltd. is a qualified public company. As a result, it can accept deposits from both its members and the general public.
  3. Yes, the firm can make secured deposits. If a business offers secured deposits, it must create a charge against its tangible assets within 30 days of acceptance.
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Terms and Conditions for Acceptance of Deposits
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