A foreign company means a company incorporated outside India but having a place of business in India [Sec. 591 (1)]. Within 30 days of the establishment of the business in India, a foreign company has to furnish to the Registrar, the following documents as per Section 592:
Documents of foreign company :
(1) A certified copy of the Charter, Statute, Memorandum and Articles of the company, containing the constitution of the company. If the instrument is not in English language, a certified translation thereof.
(2) The full address of the Registered or Principal office of the company.
(3) A list of directors and secretary of the company giving name in full, usual residential address, nationality of origin, his business and particulars of other directorships held by him.
(4) The names and address of any person or persons resident in India, authorized to accept service of legal process and notices on behalf of the company.
(5) The full address of that office of the company in India which is to be deemed as its principal place of business in India.
When any change occurs in the above particulars the Registrar must be notified accordingly within the prescribed time (Sec. 593).
Obligation regarding accounts :
The obligations of a foreign company in respect of accounts are almost the same as those of a company registered under the Indian Companies Act. Section 594 provides that every foreign company, unless exempted by the Central Government, is required to file with the Registrar every year three copies of its Balance Sheet and Profit and Loss A/c and other documents, required under the Act. Along with these documents, it must also send to the Registrar three copies of a list in the prescribed form of all the places of its business in India [Sec. 594 (3)].
Other obligations (Sec. 595) :
Every foreign company shall:
(i) state the name of the country of its incorporation in every prospectus inviting subscriptions in India for its shares or debentures. It may be noted, however, that a foreign company may issue a prospectus even if it has no place of business in India;
(ii) conspicuously exhibit on the outside of every office or place of business, its name and the country of incorporation in English and in the regional language;
(iii) give the name of the company and the country of incorporation in English language in all business letters, bill heads and letter paper and in all notices and other official publications of the company, and
(iv) state in every prospectus and in all official publications and exhibit outside every office or place of business, whether the liability of the members is limited.