Sec 177 r/w Rule 6 of companies (Meeting of Board & its Power) Rules 2014: The Board of directors of following companies are required to constitute an Audit Committee of the Board- 1. All listed public companies;[1] 2. All public companies with a paid up capital of Rs. 10 Cr or more.; 3. All public […]
Advance Tax payment is must for certain tax payers in India. In fact here, the reality is that taxes are required to be paid in advance, i.e. ‘pay as you earn’ and not at the end of year. This scheme refers to paying most part of the taxes during the financial year itself to ensure […]
Meeting is not defined under any provisions of Companies Act of 2013, but taking references from common business and market parlance and also from some of the decided case laws like Sharp vs. Dawes, as decided in 1971, and through citations of various renowned authors, we can gather that a ‘Company Meeting’ is basically coming […]
The National Company Law Tribunal possesses the following powers in its hand: 1. To Modify or Supervise scheme of Compromises or Arrangements: Supervision generally starts when the scheme of Compromise & Arrangement is accepted and even during and after its implementation too, NCLT has powers to pass reasonable order. Castron Technologies Ltd. vs. Castron Mining […]
FOSS VS. HARBOTTLE (Hereinafter referred as Foss rule) Facts: F and T, two shareholders of a company brought an action on behalf of themselves and all other shareholders against directors and solicitors of company, alleging that Directors and solicitor’s carried illegal transaction thereby causing losses to the company. The transactions were fraudulent and illegal whereby […]
In this timeline, SEBI has tried to incorporate various global and internationally acclaimed principles within its regulation which has constantly enhanced the efficiency and integrity in securities market here and catapulted it into a global platform.
Investors are the pillar and skeleton of securities market and their protection is the paramount consideration of SEBI. The rule of Caveat Emptor, ‘Let the Buyer Beware’ is though applicable in business laws, but can’t be applied blindly in capital market scenario since the financial products of investment here are not in form of some […]
Basis of Distinction: Governing Sections: 1. Rights Shares: u/s 62 of Companies Act of 2013 2. Bonus Shares: u/s 63 of Companies Act of 2013 Meaning: 1. Rights Shares: Issue of further shares to the already existing shareholders of the company in ratio of the proportion of their holdings at discounted price. 2. Bonus Shares: […]
Shareholders are known as the real owners of the company that own equity shares issued by a particular company, whereas Directors on the other hand are the individuals who are elected to actually act as the representatives of such shareholders by establishing and implementing policies and decisions and act in the best interests of such […]
Pursuant to the SEBI (Issue of Capital and Disclosure Requirements) Regulations of 2018, SEBI on 11th May, 2021 came up with a consultation paper seeking public comments and reviewing the current situation concerning: Promoters, Promoter Group and Group Companies. And in continuation to the same, it has garnered following proposals for which it has sought […]
