Distinguish between a statutory Corporation and a Government Company on any threee grounds.name of each type?

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Solution

Dear student,

The differences between a Statutory Corporation and a Government Company:

Basis of Difference Statutory Corporation Government Company

Formation It is formed as a special act of Parliament. It is formed under the Companies Act.

Ownership It is wholly owned by the state. In this atleast 51% shares are held by Central or State Government or both.

Suitability It is suitable for commercial and industrial undertaking. It is suitable for commercial and industrial undertaking that allow private capital participation.

Capital Financing It may borrow money from Government and the general public. It may borrow money from Government, general public and private shareholders.

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Basis of Difference	Statutory Corporation	Government Company
Formation	It is formed as a special act of Parliament.	It is formed under the Companies Act.
Ownership	It is wholly owned by the state.	In this atleast 51% shares are held by Central or State Government or both.
Suitability	It is suitable for commercial and industrial undertaking.	It is suitable for commercial and industrial undertaking that allow private capital participation.
Capital Financing	It may borrow money from Government and the general public.	It may borrow money from Government, general public and private shareholders.