RULES OF LAW

MCA has clarified via General Circular No. 11 /2015 dated 21 st July, 2015 a company holding a general meeting after giving a shorter notice as provided under section 101 of the Act may also circulate financial statements (to be laid/considered in the same general meeting) at such shorter notice, as required under Section 136(1). MCA further clarified provisions of clause (a) of fourth proviso to section 136(1) which require every company having a subsidiary or subsidiaries to place on its website, if any, separate audited accounts in respect of each of its subsidiary, Further, fourth proviso to section 137(1) requires that a company shall attach along with its financial statements to be filed with the Registrar, the accounts of its subsidiary(ies) which have been incorporated outside India and which have not established their place of business in India. In case of a Foreign subsidiary, which is not required to get its accounts audited as per legal requirements prevalent in the c...

MCA has issued circular no.10/2015 dated 13/07/2015 regarding Relaxation of additional fees and extension of last date of filing: 1) Form MGT-7 (annual return) :    Company whose financial year ending  after 1st April, 2014, have the time up to 31/10/2015 to file annual return in Form MGT-7 without late fee and the form will be made available  latest by 30th September, 2015 by MCA. 2) Form AOC-4 & Form AOC- 4 XBRL (Financial Statement): Company whose financial year is commencing on and after 1st April,2014 have time upto 31/10/2015 to file the Financial statement for the FY 2014- 2015 to the concerned ROC without late fee and the forms will be made available latest by 30th September, 2015 by MCA. 3) Form AOC- 4 CFS ( Consolidated financial statement): Companies which are not required to file its financial statement in XBRL format and is required to file CFS would be able to do in this Form, which will be available latest by October, 2015 ...

http://economictimes.indiatimes.com/news/economy/policy/ministry-of-corporate-affairs-to-notify-threshold-and-rules-for-flagging-corporate-frauds/articleshow/47777835.cms

       MCA provided Clarification on repayment of deposits under section 74 of Companies Act,2013 accepted by the companies before the commencement of the Act via circular no. 09/2015 dated 18 th June, 2015 and stated vide Removal of Difficulties (Second) Order [S.O. 1428(E)]dated 2nd June, 2014 and Removal of Difficulties (Fourth) Order [S.O. 146O(E)] dated 6 th   June, 2014, the Company Law Board has been empowered to exercise the powers of National Company Law Tribunal under section 73(4) and section 74(2) of the Companies Act,2013, till the latter's constitution. Thus, a depositor is free to file an application under section 73(4) of the Companies Act,2013, with the Company Law Board if the company fails to make repayment of deposits accepted by it. Further the company may also file application under section 74(2) of the Companies Act,2013 with the Company Law Board seeking extension of time in making the repayment of deposits accepted by it before the ...

http://www.business-standard.com/article/opinion/united-spirits-limited-a-case-of-corporate-governance-failure-115060700743_1.html

http://www.business-standard.com/article/pti-stories/expert-panel-seeks-public-comments-on-companies-act-115062100187_1.html

MCA has directed All the Non Banking Financial Institutions/Companies registered with MCA to comply with the requirement of section 45-IA of the RBI Act, 1934, if applicable to them. A Non-Banking Financial Company (NBFC) is a company registered under the Companies Act, 1956 engaged in the business of loans and advances, acquisition of  shares/ stocks/bonds/debenture/securities issued by Government or local authority or other marketable securities of a like nature, leasing, hire-purchase, insurance business, chit business but does not include any institution whose principal business is that of agriculture activity, industrial activity, purchase or sale of any goods (other than securities) or providing any services and sale/purchase/construction of immovable property. A non-banking institution which is a company and has principal business of receiving deposits under any scheme or arrangement in one lump sum or in installments by way of contributions or in any other manner, is al...