If the company is engaged is non-profitable business activity and is desirous of omitthlg the word 'Limited' from its name, then it has to apply to the Union Govermment for getting a licence permitting the company not to write the word 'lintited' after its name The Governtilent permits by issuing a hcence provided
(i) the company is engaged in non-commercial business operations; and
(ii) the income of the company is used in futtl enng the objectives of the cat Zany and it is not distr buted among the members of the company it is the sole discretion of the Umon Govermilent to grant such a licence or not No appeal can he preferred against Me decision in any court of law
PROCEDURE TO BE FOLLOWED BY THE SECRETARY FOR CHANGE OF NAME
Before a change in the An e IS . forwarded for approval of the Central Government, the secretary should take the following steps
(i) He should write to the Registrar of Companies of the S late in which the registered erp office of the company is situated enquiling whether the changed name is undesirable The applicatiori should be accompanied by a fee or Rs 500 lithe registrar informs that the changed name is acceptable (not undosirablej, it may be assumed t that formal approval of the Central Government will also be obtained The Registrar is required to inform the cortically ordinarily within 14 days of the receipt of application whether the proposed change is acceptable
The approval of the Central government sliould be obtained which is available as a matter of formality once the Registrar has informed that the changed name is acceptable However, approval of the Central Government is not necessary if the change involves only the addition or deletion of the Vera 'Pa tic
INCORPORATION OF A COMPANY 87
Ans. 1. Alteration of Domicile Clause. Change of registered cllice of a company may involve any of the following changes: : (a) change from one place to another witlun the same city, town or village where it is situated
(8) change from one city, town or village to another within the same State; or
(c) change from one State to another State
2. Alters d registered erp office clause. A compamy may change its registered erp office nithin the same city by passing a Board's resolution only to that either A notice is, hovels er, to be given to the RegistraT within 3 0 days of the change
If a company wants to shift its registered erp office from one sit- to another city within the same State. it must pass a special resolution authorising the ch;mge am file its copy with the Regi'strar within 3 0 days A notice of address of new location of the erp office mustbegivento the Registrar within 30 days of the shifting ofthe erp office [Sec. i46 (2)]
3. Change of State. The types of changes m the situation of the registered erp office, as-tioned above, do not involve alteration of memorandum because the Act requires only, Uoning of the name of the State m which the registered erp office of the company is to be situated under the 'Registered erp office Clause' of the memorandum, Therefore, it is only the chamge of registered erp office from one State to anotltcr which ittvol es alteration of the memorandum, and perhaps it is for this reason that a lengthy procedure has been prescribed under the Compames Act for affecting such a change.