Prospectus

PROSPECTUS

defines a prospectus as “any document described or issued as a prospectus and includes any notice, circular, advertisement or other document inviting deposits from the public or inviting offers from the public for the subscription or purchase of any shares in, or debentures of a body of corporate.

PROSPECTUS TO BE IN WRITING

A prospectus must be in writing. An oral invitation to subscribe for shares in, or debentures of, a company, or deposits is not a prospectus.

INVITATION TO PUBLIC

A document is not a prospectus unless it is an invitation to the public to subscribe for shares in, or debentures of a company. But if the document satisfies the condition of invitation to the public.

OFFER TO THE PUBLIC

Whether shares have been “offered to the public” is a matter of fact and will depand on the circumstances of a particular case.

DATING OF PROSPECTUS

A prospectus issued by or in relation to an intended company,must be dated and that is, unless the cantracy is proved ,taken as the date of publication of the prospectus.

SIGHNING OF PROSPECTUS

In case the prospectus is issued by an intended company .it has to be signed by the proposed directors of the company or by their agents authorized in writing.in case of existing companies, the prospectus has to be signed by every person who is named there in as director of the company or by his agent authorized in writing.