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CS Professional · Compliance Management, Audit and Due Diligence · Legal Framework Governing Company Secretaries

A firm, 'Mehta & Associates', has three partners, all members of the Institute and all in practice. The partners want the firm to be known as 'Mehta & Associates, Company Secretaries'. Which statement is correct under the Company Secretaries Act, 1980?

The firm may be known as Company Secretaries. The proviso to section 7 allows a firm to use that name if all its partners are members of the Institute and in practice. Fellowship or registration as a company is not required.

  1. ANot permitted, as only individuals may use the designation Company Secretary
  2. BPermitted only if at least one partner is a fellow member
  3. CPermitted, because a firm all of whose partners are members in practice may be known by its firm name as Company SecretariesCorrect
  4. DPermitted only if the firm is registered as a company

Explanation

The proviso to section 7 says nothing prohibits a firm, all of whose partners are members of the Institute and in practice, from being known by its firm name as Company Secretaries. All three partners qualify here. The fellow-member and company-registration conditions do not appear in the section.

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