We list the new requirements for companies below. India Corporate/Commercial Law Global Jurix, Advocates & Solicitors 10 Jun This article would tell you whether the process of Registering a Company in India under new Companies Act has gone from bad to worse. The Companies Act, passed by the Parliament has received the assent of the President of India on 29th August, This an Act to consolidate and.
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The provisions of Companies Act are still in force. Parliament approved the long-awaited overhaul of legislation governing Indian companies on 9 August The new law is aimed at easing the process of doing business in India and improving corporate governance by making companies more accountable.
The Act also introduces new concepts such as one — Companies act 2013 india Company, small company, dormant company and corporate social responsibility CSR etc.
Compliance under Companies Act for Companies in India
The Act introduces significant changes in the provisions related to governance, e-management, compliance and enforcement, disclosure norms, auditors, mergers and acquisitions, class action suits and registered valuers. The companies act 2013 india is now in force w. Company or Small company as per the new definition or for those who would like to start an One person Company.
Under any circumstances this is not an exhaustive list. Those who are interested may visit http: It was first recommended in India by an expert committee headed by Dr.
Every company shall have at least one director who has stayed in India for a total period of not less than days in the previous calendar year. Such other class or classes of public companies as may be prescribed by the Central Government shall also be required to appoint independent directors.
No independent director shall hold companies act 2013 india for more than two consecutive terms of five years.
Serving Notice of Board Meeting: The notice may be sent by electronic means to every director at his address registered with the company.
Every company is required to maintain certain Statutory Registers under Section 85, Section 88 etc companies act 2013 india the Companies Act, and required to keep and maintain at its registered office in the prescribed form.
Key highlights of new Indian Companies Act
In case of any failure in maintaining the statutory register, the company, as well as directors, may be fined and companies act 2013 india. The company is also required to conduct minimum 4 board meetings during the calendar year at stipulated intervals and also ensure that all the minutes of the board meeting are companies act 2013 india retained until the company exists.
The minutes of the meeting required to be prepared within fifteen days of the meeting and can be finalized within thirty days of the meeting.
Other than the above-mentioned non-negotiable conditions, there are few more instances where a company is required to intimate the registrar of companies.
Indian Companies Act 2013 And Indian Companies Act Rules 2014 And Their Notifications
The second condition is that the borrower company should utilize the loan companies act 2013 india only for the purpose of its principal business activity the expression "principal business activity" continues to remain undefined. This is an important companies act 2013 india pragmatic change and will facilitate legitimate business transactions.
The second condition as above would not apply in respect of transactions involving a holding company and its wholly owned subsidiary. The Amendment Act continues to prohibit the providing of loans to a director of a company or that of its holding company.
Clarification on disqualification of directors and the consequent vacation of their office.