In our last blog post, we discussed general provisions related to foreign companies. We will discuss provisions which are related to prospectus and penalties.
PROSPECTUS OF FOREIGN COMPANY (SECTION 387):
This provision is applicable to foreign companies, and there is no difference whether the company has or has not established or when formed will or will not establish a place of business in India. No person shall issue, circulate or distribute in India any prospectus offering to subscribe for securities of a company incorporated or to be incorporated outside India unless the prospectus is dated and signed.
AishMGhrana 