Question

Which of the following entity is created under an Act of the Parliament or an Act of the State Legislature?

• A. Statutory corporation
• B. Government companies
• C. Co-operative society
• D. Limited Liability Partnership

Answer 1

Answer: (A)

Statutory corporation

Statutory corporations are public enterprises brought into existence by a Special Act of the Parliament. The Act defines its powers and functions, rules and regulations governing its employees and its relationship with government departments.It is a corporate person and has the capacity of acting in its own name.

Examples: Reserve Bank of India, State Bank of India, Life Insurance Corporation, Unit Trust of India, Employees State Insurance Corporation, Oil and Natural Gas Corporation etc examples of statutory corporations.