Question

On request from a member, the company shall, subject to the payment of the prescribed fee, send a copy of the memorandum of association to him, within ____________.

• A. Three days of the request.
• B. Seven days of the request.
• C. Ten days of the request.
• D. Thirty days of the request.

Hint:

Failing to send the MoA or AoA to a member within 7 days attracts immediate daily fines.
Always verify this specific timeline during audits.

Answer 1

The Correct Option is B

Step 1: Understanding the Question:
The question asks for the statutory timeline within which a company must send a copy of its Memorandum of Association (MoA) to a member who has formally requested it.

Step 2: Key Principles and Statutory Provisions:
This transaction is regulated by Section 17 of the Companies Act, 2013, which mandates the provision of copies of memorandum, articles, etc., to members.

Step 3: Detailed Explanation and Analysis:

• Under Section 17(1) of the Act, every company is required to send copies of certain fundamental documents to any member upon request.

• These documents include:
1. The Memorandum of Association;
2. The Articles of Association;
3. Every agreement and resolution referred to in Section 117.

• The company must supply these copies within seven days of receiving the request and the prescribed fee.

• If a company defaults in complying with these provisions, the company and every officer in default are liable to pay a statutory penalty of one thousand rupees for each day during which the default continues, up to a maximum of one lakh rupees.

Step 4: Final Answer:
The copies must be sent within seven days of the request, which corresponds to Option B.