Justify the following statement:There is more Government control and supervision over the working of a Joint Stock company.

Justify the following statement:There is more Government control and s

1.	Justify the following statement:There is more Government control and supervision over the working of a Joint Stock company.
Answer» A Joint Stock Company is controlled and supervised by the Government. A company has to follow numerous provisions of the Companies Act and other Acts. The company has to follow all rules and regulations of the Government. If any of the legal provisions are violated, various charges are levied on the company. Government control protects the financial interest of a large number of investors. If any of the business of a company is carried out illegally, strict actions are taken by the Government authorities on the working of the company. So, there is more Government control and supervision over the working of Joint Stock companies.