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What happens if it is proven that a company was incorporated by providing false information or by suppressing material facts?
  • a)
    The Tribunal may order the removal of the company’s name from the register of companies.
  • b)
    The company must immediately cease operations.
  • c)
    The company’s ownership is transferred to the government.
  • d)
    The company's directors are exempt from any liability.
Correct answer is option 'A'. Can you explain this answer?
Verified Answer
What happens if it is proven that a company was incorporated by provid...
- If a company was incorporated by providing false information or suppressing material facts, the Tribunal may order the removal of the company's name from the register of companies.
- This action is taken to ensure that only legitimate and lawfully incorporated entities remain registered.
- Removing the company's name serves as a corrective measure to maintain integrity in the corporate registry.
- The Tribunal's decision aims to prevent fraudulent activities and protect stakeholders from potential harm caused by misleading incorporations.
Therefore, Option A is the correct answer.
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What happens if it is proven that a company was incorporated by providing false information or by suppressing material facts?a)The Tribunal may order the removal of the company’s name from the register of companies.b)The company must immediately cease operations.c)The company’s ownership is transferred to the government.d)The companys directors are exempt from any liability.Correct answer is option 'A'. Can you explain this answer?
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What happens if it is proven that a company was incorporated by providing false information or by suppressing material facts?a)The Tribunal may order the removal of the company’s name from the register of companies.b)The company must immediately cease operations.c)The company’s ownership is transferred to the government.d)The companys directors are exempt from any liability.Correct answer is option 'A'. Can you explain this answer? for CA Foundation 2025 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about What happens if it is proven that a company was incorporated by providing false information or by suppressing material facts?a)The Tribunal may order the removal of the company’s name from the register of companies.b)The company must immediately cease operations.c)The company’s ownership is transferred to the government.d)The companys directors are exempt from any liability.Correct answer is option 'A'. Can you explain this answer? covers all topics & solutions for CA Foundation 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for What happens if it is proven that a company was incorporated by providing false information or by suppressing material facts?a)The Tribunal may order the removal of the company’s name from the register of companies.b)The company must immediately cease operations.c)The company’s ownership is transferred to the government.d)The companys directors are exempt from any liability.Correct answer is option 'A'. Can you explain this answer?.
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