According to the Companies Act 2013, which of the following is NOT the kind of company on the basis of number of member?

Government Company

The correct answer is option 2- Government Company.

Government Company is NOT the kind of company on the basis of number of member.

On the basis of the number of members, companies can be divided into three categories as follows:

(i) Public Company: A public company means a company which
(a) is not a private company;
(b) is a company which is not a subsidiary of a private company.

(ii) Private Company: A private company is one which by its articles of association:
(a) Restricts the right to transfer its shares;
(b) A private company must have at least 2 persons, except in case of one person company; 
(c) Limits the number of its members to 200 (excluding its employees).

(iii) One Person Company (OPC): Sec. 2 (62) of the companies Act, 2013, defines OPC as a “company which has only one person as a member”. Rule 3 of the Companies (Incorporation) Rules, 2014 provides that: 
(a) Only a natural person being an Indian citizen and resident in India can form one person company,
(b) It cannot carry out non-banking financial investment activities.
(c) Its paid up share capital is not more than Rs. 50 Lakhs
(d) Its average annual turnover of three years does not exceed Rs. 2 Crores.