Under what circumstances the court may disregard separate legal entity – InterviewSolution

InterviewSolution

1.	Under what circumstances the court may disregard separate legal entity of a company
Answer» If an INSPECTOR is APPOINTED under section 235 or 237 of the Companies ACT to investigate the affairs of the company, he has the power to investigate also the affairs of any other related company in the same management or GROUP (section 239). This is in complete disregard to the separate entities of the companies.

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