The landmark Companies Bill has been enacted in Sep 2013, replacing Companies Act 1956 that governed corporates in the country.
After being approved by Parliament and receiving assent from President Pranab Mukherjee, the new laws have been now Gazetted."The historic new Company Law in the country has been enacted with the President of India giving his assent to the Companies Bill, 2013.The act has 470 CLAUSES, 7 SCHEDULES & 33 new definitions.
Highlights:
1- Mandatory spending on CSR. Companies have to spend atleast 2% of 3 Yrs avg profit on CSR.
2-Auditors given more responsibility.
3- Atleast 33% independent directors mandatory now.
4-Statutory recognition to Serious Fraud Investigation Office.Has power to arrest the offenders
5-National Company Law Tribunal to deal with disputes such as winding ups, amalgamations, mergers etc.
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