[amp_mcq option1=”Issue, within 30 days, a fresh prospectus to raise the amount by which it fell short during the first attempt” option2=”Issue a statement in lieu of prospectus, and raise the amount through private sources within a specified period” option3=”Return with interest the application money to the applicants within a stipulated period” option4=”Seek permission from the SEBI for reentering the capital market” correct=”option3″]<\/p>\n
The correct answer is C.<\/p>\n
A company that fails to secure the minimum subscription must return the application money to the applicants within a stipulated period. This is as per the Companies Act, 2013. The amount must be returned with interest at the rate of 12% per annum from the date of application till the date of refund.<\/p>\n
Option A is incorrect because a company cannot issue a fresh prospectus within 30 days of the first attempt. The Companies Act, 2013, states that a company can issue a fresh prospectus only after a period of 6 months from the date of the first attempt.<\/p>\n
Option B is incorrect because a company cannot issue a statement in lieu of prospectus to raise the amount through private sources. The Companies Act, 2013, states that a company can issue a statement in lieu of prospectus only if it is a private company.<\/p>\n
Option D is incorrect because a company does not need to seek permission from the SEBI for reentering the capital market. The Companies Act, 2013, does not require a company to seek permission from the SEBI for reentering the capital market.<\/p>\n","protected":false},"excerpt":{"rendered":"
[amp_mcq option1=”Issue, within 30 days, a fresh prospectus to raise the amount by which it fell short during the first attempt” option2=”Issue a statement in lieu of prospectus, and raise the amount through private sources within a specified period” option3=”Return with interest the application money to the applicants within a stipulated period” option4=”Seek permission from … <\/p>\n