A meeting means ‘an assembly of people for a particular purpose, especially for formal discussion.’ The Company meetings must be convened and held in compliance with the provisions of the Companies Act. 2013 and the rules framed there under. Annual General Meeting (AGM) Annual General Meeting by its name says that it is to be […]
Meaning Overseas Direct investment means investments outside India, either under the Automatic Route or the Approval Route: -by way of contribution to the capital or -subscription to the Memorandum of a foreign entity or -by way of purchase of existing shares of a foreign entity either by market purchase or private placement or through stock […]
Preference as the term implies are the shares that rank at a priority above the equity shares. It means and includes that part of the share capital the holders of which have a preferential right over payment of dividend (fixed amount or rate) and repayment of share capital in the event of winding up of […]
In many Indian corporate frauds, it is found that independent directors either were just mute spectators or failed to detect an early signs of fraud. In some companies, it was found that watchmen, drivers, maids and other assorted individuals lent their name, identity and consent to become an independent director without aware of their roles […]
Reply to SCN received from MCA-CMS As you all know, Ministry of Corporate Affairs created AI based system called “Compliance Monitoring System” which will automatically track certain non-compliances based on various filings done by the corporates. Many companies started receiving show cause notice (SCN) since 4th of November, 2019 regarding violation of Section 96 i.e […]
There are drastic changes in the provisions of filing of e-forms and documents with the Registrar after the introduction of the Companies Amendment Act, 2017 and the Companies Amendment Ordinance Act, 2018. . Earlier, Section 403 of the Companies Act, 2013 prescribed 270 days timeline within which any document can be filled with the Registrar […]
Ministry of Corporate Affairs Compliance Monitoring System (MCACMS) is the newly introduced online Compliance tracing mechanism that works on Artificial Intelligence. This portal will catch non-compliance of any company automatically and send show-cause notices to the non-compliant companies/directors digitally. Such defaulting companies/directors will now be required to submit a reply to show-cause notices to the MCA on MCACMS Portal.
Foreign Direct Investment (FDI) has been an important source of funds for companies in a country where capital is scarcely available. Under FDI, overseas money, either by an individual or entity, is invested in an Indian company. Modes of FDI Investment in India can be made either under Automatic Route which does not require approval from […]
On June 14, 2018, MCA issued the Companies (Beneficial Interest and Significant Beneficial Interest) Rules 2018 and enforced section 90 of the Act. On Feb 8, 2019, MCA has notified the revised rules on SBO. The sole objective of these rules is ‘to identify the ultimate beneficial individual or group of individuals who have control or ownership of the reporting company disregarding the intermediate shareholding by non-individual persons.’
Introduction Traditionally, ESOPs were given to remunerate senior employees and to acknowledge their proven contribution to the company. However, in modern times, ESOPs are used as compensation and motivational tool as startups can’t afford to spend high salaries in the beginning stage. Employee Stock Options in India has gained immense popularity in the recent times […]
