25 December 2012
According to Sec 2(1)(zzk) of the Companies Bill, 2009, OPC means a company which has only one person as a member. It is a one shareholder corporate entity, where legal and financial liability is limited to the company only. OPC Company may be registered as a private company with one member and also have at least one director.
The memorandum of an OPC has to prescribe the name of the person who will be member in the event of the death, disability or otherwise, of the one member of the company.
It is also the duty of the member of an OPC to intimate the Registrar, the change of name of the person mentioned in the memorandum and such change will not be deemed to be an alteration of the memorandum. Letters “OPC Limited” should be suffixed with the name of the company to distinguish it from other companies. Annual return of an OPC should be signed by the Company Secretary, or where there is no Company Secretary, by one director of the company. Provision of Annual General Meeting is not applicable for an OPC.
Where an OPC enters into a contract with the sole member of the company who is also a director, the company should, unless the contract is in writing, ensure that the terms of the contract or offer are contained in the memorandum or are recorded in the minutes of the first Board meeting held after entering into the contract and every such contract should be informed to the Registrar.
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