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

Karan, a member of the Institute, receives a fee for issuing certificates on behalf of Sagar Foods Ltd for its purposes. He holds no other engagement. Can he be treated as being 'in practice' under the Act?

Yes. A member is deemed in practice when, for remuneration, he offers or performs services such as issuing certificates on behalf of or for the purposes of a company. The listed services are alternatives, so no other engagement or Fellow status is required.

  1. ANo, being in practice requires only acting as Company Secretary to a company
  2. BNo, issuing certificates is covered only if the member is a Fellow
  3. CYes, but only if he also performs winding up services
  4. DYes, because for remuneration he offers or performs services such as issuing certificates on behalf of, or for the purposes of, a companyCorrect

Explanation

Section 2(2)(c)(vii) lists issuing certificates on behalf of, or for the purposes of, a company among services making a member 'in practice' when done for remuneration. The other clauses are alternatives, so no additional winding up service is needed.

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