(1) Any seven or more persons associated for the purpose of promoting or encouraging commerce, industry literature, art, science, diffusion of useful knowledge, foundation and maintenance of libraries, museums or such other purpose may, by subscribing their names to a memorandum or otherwise complying with the requirements of this Act in respect of registration, form a corporation, provided that-
(a) the objects for which the corporation is formed are confined to the 1[State of Maharashtra.]
(b) the corporation intends to apply the profits, if any, or other income in promoting its objects, and
(c) the corporation intends to prohibit the payment of any dividend to its members.
(2) Such a corporation may be either-
(a) a corporation having the liability of its members limited by the memorandum to the amount, if any, unpaid on shares respectively held by them; or
(b) a corporation having the liability of its members limited by the memorandum to such amount as the members may respectively undertake by the memorandum to contribute to the assets of the corporation in the event of its being wound up.
(3) It shall not be necessary to use the word "limited" as the last word in the name of a corporation registered under this Act.
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1. These words were substituted for the words "State of Bombay" by the Maharashtra Adaptation of Laws (State and Concurrent Subjects) Order, 1960.