Question

differnce between departmental undertaking and govertment company and differnt basis

Answer 1

Answer:

A departmental undertaking is an old form of state enterprise, whereas a Government company is a modern form of state enterprise. 7. A departmental undertaking is not brought into existence under any act, whereas a Government company is brought into existence under the companies

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Answer 2

Hello !

The main differences between a departmental undertaking and a Government company are:

1. A departmental undertaking does not enjoy autonomy, whereas a Government company has some autonomy.  

2. A departmental organisation is liable to political interference, whereas a government company is comparatively free for political interference.  

3. A departmental organisation does not enjoy flexibility. But a Government company has enough flexibility.  

4. A departmental undertaking has more public accountability than a government company.

5. A departmental undertaking is not run on commercial principles, whereas a Government company is run purely on commercial principles.  6. A departmental undertaking is an old form of state enterprise, whereas a Government company is a modern form of state enterprise.  

7. A departmental undertaking is not brought into existence under any act, whereas a Government company is brought into existence under the companies Act.  

8. A departmental undertaking does not provide for mixed ownership, whereas a Government company provides for mixed ownership.  

9. A departmental undertaking does not have separate legal entity. But a Government company has separate legal entity

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