These are some points of objectives of the Companies Act, 1956.
1. Management of the companies.
2. Control over companies.
3. Protection of Consumer's interest.
4. Inter-Corporate loans and investments.
5. Audit of Cost.
6. Investor's protection
Objectives of Companies Act, 1956
Some Rules and Regulations
Companies enjoy -
1. Artificial person - A company is an artificial person created by law.
2. Perpetual Succession - A company has an ongoing life of its own, which does not get affected by the death, retirement, or insolvency of its members.
3. Common Seal - It is the official signature of the company. Being an artificial person, it acts through its directors. All important documents must have the company seal for it to become relevant.
Administration
The Companies Act, 1956 is administered by Federal Government of India by the Offices of Registrar of companies, Ministry of Corporate Affairs, Company Law board etc.
The Companies act is an act to consolidate and amend the laws relating to companies and other business entities.
What is Companies Act, 1956?
The Companies Act, 1956 is an Act in which rules and regulations for maintaining the books of accounts of a company are written. No company in India can violate the regulations of this Act.
It contains special laws which a company has to follow while maintaining its books of accounts. Registration of all companies in India are undertaken by this Act. If any company does not follow these rules and regulations, it is prohibited to perform by law of India.
Some other associations other than companies are also registered and perform according to this Act.
It was enacted by the Parliament of India on January 18, 1956 and started on April 1, 1956
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