Companies Act

The Ministry of Corporate Affairs has issued clarification on loan to Public Limited Companies under Section 295 of the Companies Act. A circular issued by the Ministry in this regard says that it has come to the notice of the Ministry that some Companies are making applications for getting prior approval of Central Government when they propose to make any loan to, or give any guarantee or provide any security in connection with a loan made by any person to a Public Limi.. Full Article

NOTIFICATION NO. G.S.R. 326(E), DATED 8-4-2011. In exercise of the powers conferred by sub-section of section 620A read with sub-section (1) of section 637A of the Companies Act, 1956 (1 of 1956), the Central Government hereby makes the following amendments in the Notification of the Government of India, the erstwhile Ministry of Commerce and Industry (Department of Company Law Administration) No. G.S.R. 978 dated 28th May, 1963 and published in the Gazette of India, in .. Full Article

The new Companies Bill, which seeks to replace a 50-year-old Act, will come up for consideration and passage in the Monsoon Session of Parliament. “The Companies Bill will come in for discussion in Parliament in the Monsoon Session,” the Corporate Affairs Minister, Mr Murli Deora, told reporters on the sidelines of a FICCI event here today. Full Article

The effect of the notification shall require the Companies including Government Companies to include a statement showing the name of every specified employee of the Company in their Board Report pursuant to Section 217 (2A) of the Companies Act 1956 read with Companies (Particulars of Employees) Amendment Rules, 2011 which provides: Full Article

The Company Law Board (CLB) today declared the extraordinary general meeting (EGM) convened by IFCI for the appointment of an additional director on the board of Tourism Finance Corporation of India (TFCI) invalid. The CLB bench of Justice D R Deshmukh, while declaring the EGM null and void, said, "The meeting was convened in the violation of its earlier order." Full Article

The Union Finance Minister, Shri Pranab Mukherjee announced today that the Government has set up a Financial Sector Legislative Reforms Commission under the Chairmanship of Justice B. N. Srikrishna in pursuance of the announcement made in Budget 2010-11. The Commission will rewrite and streamline the financial sector laws, rules and regulations and bring them in harmony with the requirement of a modern financial sector. It will complete its work in 24 months. Full Article

There can be disputes between majority group and minority shareholders in any Company and these disputes come very frequently in closely held companies or Private Limited Companies. The Companies Act, 1956 provides certain rights to the shareholders Full Article

After considering the views of the industry and a House panel, the government will table the Companies Bill 2009 in the forthcoming Budget session, the Ministry of Corporate Affairs said today. Full Article