14)

The paid-up share capital of Altar Private Limited is `1 crore, consisting of 8 lacs Equity Shares of `10 each, fully paid-up and 2 lacs Cumulative Preference Shares of `10 each, fully paid-up. New Private Limited and Ultra Private Limited are holding 3 lacs Equity Shares and 50,000 Equity Shares respectively in Altar Private Limited. New Private Limited and Ultra Private Limited are the subsidiaries of PQR Private Limited. With reference to the provisions of the Companies Act, 2013 examine whether Altar Private Limited is a subsidiary of PQR Private Limited? Would your answer be different if PQR Private Limited has 8 out of 9 Directors on the Board of Altar Private Limited?

Answer rating: 100% (QA)

Answer In terms of section 2 87 of the Companies Act 2013 subsidiary company or subsidiary in relati... View the full answer