Justify the following statement: There is more Government control and supervision over the working of a Joint Stock company.
Justify the following statement:
There is more Government control and supervision over the working of a Joint Stock company.
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- A Joint Stock Company is controlled and supervised by the Government.
- A company has to follow numerous provisions of the Companies Act and other Acts.
- The company has to follow all rules and regulations of the Government.
- If any of the legal provisions are violated, various charges are levied on the company.
- Government control protects the financial interest of a large number of investors.
- If any of the business of a company is carried out illegally, strict actions are taken by the Government authorities on the working of the company.
- So, there is more Government control and supervision over the working of Joint Stock companies.
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