Section 215: Firm,body corporate or association not to be appointed as inspector
Updated: Oct 7
Quoting the act
No firm, body corporate or other association shall be appointed as an inspector.
A firm is a for-profit business organization—such as a corporation, limited liability company (LLC), or partnership—that provides professional services. Most firms have just one location. However, a business firm consists of one or more physical establishments, in which all fall under the same ownership and use the same employer identification number (EIN).
When used in a title, "firm" is typically associated with businesses that provide professional law and accounting services, but the term may be used for a wide variety of businesses, including finance, consulting, marketing, and graphic design firms, among others.
Body corporate broadly means a corporate entity which has a legal existence.
The term "body corporate" is defined in Section 2(11) of the Companies Act, 2013. This includes a private company, public company, one personal company, small company, Limited Liability Partnerships, foreign company etc.
“body corporate” or “corporation” also includes a company incorporated outside India.
However, body corporate does not include—
(i) a co-operative society registered under any law relating to co-operative societies; and
(ii) any other body corporate (not being a company as defined in the Companies Act 2013), which the Central Government may, by notification, specify in this behalf;
The above definition is different from the provisions existed in the erstwhile companies Act 1956, which had excluded a “corporation sole” also from the definition of body corporate which was, however, not defined in the Act of 1956.
Is a group of persons who share common interests or a common purpose and who are organized with varying degrees of formality — compare corporation.
Is an official employed to ensure that official regulations are obeyed, especially in public services.
The rule is made to ensure that there is no partiality while making the investigation and hence the party can’t ask one of his members to be inspector and rule out the decision in there favour.The rule is equal opportunity to all.