Question

What is Statement in lieu of Prospectus?

Answer 1

A public company having share capital need not file and publish a prospectus, if it wants to raise its capital privately without public notice. in such a case, it must file a 'Statement in lieu of prospectus with the Registrar of companies at least three days before the allotment of shares. It must be duly signed by all the directors. It should be dated and should indicate when it was delivered to the Registrar.