FAQ - Commerce - Company Secretary (CS)

Q.1. What are C.S. and ICSI?
Ans.

C.S.- A Company Secretary is a professional whose role in a corporate set up is that of an advisor for legal matters. As per the Companies Act, a statutory requirement is that companies with a paid up share capital of a minimum of Rs 50 lakh are required to appoint a Company Secretary. A Company Secretary is a very important member of the company’s management.
ICSI- The Institute of Company Secretaries of India is constituted under the Company Secretaries Act, 1980, to develop and regulate the profession of Company Secretaries in India. The origin of this profession can be traced back to 1960, when the Company Law Board started a course in Company Secretaryship leading to a Government Diploma in Company Secretary ship.

Q.2. What does a Company Secretary do?
Ans.

The range of services that a Company Secretary is trained to carry out is wide. In actual practice, it depend upon the size of the company he or she is working with.
The nature of activities that the company is engaged in will also affect the type of services that a Company Secretary is required to provide.
A Company Secretary has been recognized by law as one of the principal officers of the Company. The knowledge that he or she acquires during training makes him or her versatile enough to carry out functions in various areas like finance, accounts, legal administration and personnel division.
Company Secretary handles matters related to obtaining institutional finance. Responsibilities in this regard would include getting project approvals, obtaining relevant licenses and permits, zeroing in on all requirements under the MRTP (Monopolies and Restrictive Trade Practices Act) and FERA (Foreign Exchange Regulation Act)

Q.3. Who can become a Company Secretary?
Ans. The minimum eligibility required for the foundation course for training as a Company Secretary is 10+2 or an equivalent examination. Graduates or post-graduates in commerce, or any other discipline except fine arts, are allowed to skip the foundation course and enrolled directly for the intermediate examination. This exemption is also extended to those who have passed out of the Institute of Cost and Works Accountancy or the Institute of Chartered Accountants of India.

Q.4. What are the Stages to become a Company Secretary?
Ans.

The student who would like to join the Course after 10+2 pass or equivalent has to undergo three stages to pursue the Company Secretaries Course i.e.

The Student who would like to join the Course after passing the Graduation has to undergo two stages of the Company Secretaryship i.e.

Foundation Programme which is of eight months duration can be pursued by 10+2 pass or equivalent students of Arts, Science or Commerce stream (Excluding Fine Arts)
Executive Programme can be pursued by a Graduate of all streams except Fine Arts.
Professional Programme can be pursued only after clearing the Executive Programme of CS Course.

Q.5. When the CS Exam is held?
Ans. Examinations are held in June and December every year.

Q.6. What is qualifying marks?
Ans. A candidate is declared to have passed the Foundation / Executive / Professional examination, if he/she secures at one sitting a minimum of 40% marks in each paper and 50% marks in the aggregate of all subjects.

Q.7. Is there any provision regarding IT Training exemption in CS for CA students?
Ans. Yes, if completed IT Training under CA course then need not to do the same under CS course but need to clear IT training Exam held by ICSI.

Q.8. What are the prospects for employment?
Ans. Company Secretaries can find employment in the following areas:

In the corporate sector (public sector as well as private sector)
Banks
Financial institutions
Stock exchanges
The Department of Company Affairs
Company law boards
Government departments