Provisions Relating to Foreign Companies

A foreign company has to furnish to the Registrar the following documents within 30

days of the establishment of the business in India [Sec. 592]:

(a) A certified copy of the charter, statute or memorandum and articles of the company or other instrument constituting or defining the constitution of the company; and if the instrument is not in English language, a certified translation thereof,

(b) The full particulars of the registered or principal office of the company.

(c) A list of directors and secretary of the company, giving name in full, usual

residential address, nationality of origin, his business, occupation and particulars of other directorships held by him.

(d) The name(s) and address(es) of one or more persons resident in India, authorized to accept, on behalf of the company, service of process and any notices or other documents required to be served on the company. Any document, etc., served on such a person shall be deemed to have been served on the company. Where no such person is designated, the service may be left at the company’s principal place of business [Sec. 596].

(e) The full address of the office of the company in India which is to be deemed to be principal place of business in India.

When any change occurs in the above particulars, the Registrar must be intimated

accordingly [Sec. 593].

The aforesaid documents shall be required to be filed at two places, first, with the Registrar of the State where the principal place of business is situated and, second, with the Registrar at New Delhi [Sec. 597].

In case, any foreign company fails to comply with any of the forgoing provisions, the company and every officer or agent of the company who is in default shall be punishable with fine which may extend to ten thousand rupees and in case offence continues, with an additional fine which may extend to one thousand rupees for every day during which the default continues.

If the company establishes any branch or branches of its business in India, no further information need be given except that with the annual accounts, the company should deliver three copies of a list of its places of business in India and with reference to which the accounts are made out. [Sec. 594(3)].

2. A company incorporated outside India decides to establish a place of business in India. State the documents that are required to be filed by such foreign companies under the Companies Act soon after establishment of a place of business in India.