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XYZ a One-Person Company (OPC) was incorporated during the year 2014-15 with an authorized capital of ` 45.00 lakhs (4.5 lakh shares of ` 10 each), The capital was fully subscribed and paid up. Turnover of the company during 2014-15 and 2015-16 was ` 2.00 crores and `2.5 crores respectively. Promoter of the company seeks your advice in following circumstances, whether XYZ (OPC) can convert into any other kind of company during 2016-17. Please, advise with reference to relevant provisions of the Companies Act, 2013 in the below mentioned circumstances:
(i)If promoter increases the paid up capital of the company by ` 10.00 lakhs during 2016-17.
(ii)If turnover of the company during 2016-17 was ` 3.00 crores.

Answer rating: 100% (QA)

Answer As per Rule 3 of the Companies Incorporation Rules 2014 no One Person Company OPC can convert ... View the full answer