Shell companies are entities that have no active operations but are set up for reducing tax liabilities, raising capital, and oftentimes, for laundering money, hiding ownership.
An Associate Company is a company which is significantly influenced by another company but is not a subsidiary of the company having such influence. Understand the nuances of the definition of an associate company, how it appears in IBC, Companies Act & Indian Accounting Standards.
A 'Connected Person' under the IBC refers to a person within the immediate company network. The definition highlights one key differentiator: the existence of a personal relationship between the company and the person. Read on to understand the nuances of identifying a Connected Person.