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Witness moa & aoa

neha (-) (232 Points)

24 February 2013

For Form 1A we need to have complete detail of shareholders & on that require detail of witness also. Whether there is something specifically presrecibed who should be the witness? I mean can a non-CA be a witness for that purpose?

Plz reply asap.......

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12 Replies

(Guest)

ya non ca also can vitness for that purpose

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CA Darshak Shah (Practicing CA) (1889 Points)
Replied 26 February 2013

Only professional can witness...

CA in practice or CS in practice etc....

Regards

CA Gaurav Kaushik (Practicing Chartered Accountant) (123 Points)
Replied 27 February 2013

CA Darshak there is no provision in the Companies Act that a only a proffessional can witness MOA or AOA of a company.

In my opinion a layman may also witness the same

Infact I have incorporated Companies with a layman as witness.

Regards

CA Gaurav Kaushik

+91 98 280 32 885

CA Darshak Shah (Practicing CA) (1889 Points)
Replied 27 February 2013

There is no provision in the Act that the witness should only be a professional.

However, there is a reportedily fraud couple of years back before MCA-21 era when a company was incorporated by the ROC based on the witness done by a non-professional (i.e. his identity is not known anywhere). In this case the fraud was to the extend that both the subscribers were non-existing and the witness shown was also non-existing. When such company defaulted in filing the BS/ AR, no one was traceable. Now what to do ?

After that the ROC obtained guidance from the Ministry and the reply recd was that if the witness to the subscriber is a professional (who is always searchable) it shall be better to have someone to give explanation. After that ROC started insisting that the witness should only be a professional. Important is that only few ROC are following this practice.

Hence as per law WITNESS TO MEMORANDUM AND ARTICLES OF NEWLY INCORPORATING COMPANY, IT IS NOT NECESSARY ONE SHOULD BE A PRACTISING PROFESSIONAL OR EVEN OTHERS(LIKE PROFESSIONALS IN SERVICE OR EVEN LAYMAN) CAN ALSO DO IT. But few ROC still insist for a professional witness to MOA as a safe practice only.

Regards