In this article I have compiled in brief notifications issued by MCA since commencement of Companies Act, 2013.
1. MCA has vide Notification dated 09.01.2015, authorised, the following officers
1. Dr. Raj Singh, Joint Director,
2. Shri A.M,Singh, Joint Director,
3. Ms. P. Sheela, Joint Director,
4. Shri R.K.Tiwari, Joint Director &
5. Shri Ch. Jaganadh Reddy, Assistant Director
in the office of Regional Director (Northern Region) at Noida for the purposes of filing complaint under Section 159 of the Companies Act, 2013 in respect of offences under Section 155 of the said Act.
Section 155 deals with prohibition to obtain or possess more than one DIN by any person and punishment for contravention are provided under Section 159 of the Act.
Contribution to the Swachh Bharat Kosh and Clean Ganga Fund, shall now fall under the CSR ambit.
Chairman and Members of NACAS to hold office for a period of one year from the date of publication of the notification in the Official Gazette or till the constitution of NFRA, whichever is earlier.
Expenditure on Administrative Overheads shall now be included while calculating 5% of total CSR expenditure of the company in one financial year as laid down in Rule 4(6).
These administrative overheads shall be expenditure incurred on administration of CSR Activities.
5. Notification dated 29.08.2014 has made amendment in Schedule II of the Act related to Useful Lives for the purpose of computing Depreciation.
The text of the amendment is reproduced as below:-
1. In Schedule II of the Companies Act, 2013, –
(a) in Part ‘A’, in paragraph 3, for sub-paragraph (i), the following sub-paragraph shall be substituted, namely:-
i. The useful life of an asset shall not ordinarily be different from the useful life specified in Part C and the residual value of an asset shall not be more than five per cent of the original cost of the asset:
Provided that where a company adopts a useful life different from what is specified in Part C or uses a residual value different from the limit specified above, the financial statements shall disclose such different and provide justification in this behalf duly supported by technical advice”;
(b) in Part-C , under the Heading Notes –
(i) for paragraph 4, the following paragraph shall be substituted namely –
“4(a) Useful Life specified in Part-C of the schedule is for whole of the asset and where cost of a part of the asset is significant to total cost of the asset and useful life of that part is different from the useful life of the remaining asset, useful life of that significant part shall be determined separately.
(b) The requirement under sub-paragraph (a) shall be voluntary in respect of the financial year commencing on or after April 1, 2014 and mandatory for financial statements in respect of financial years commencing on or after April 1, 2014.
(c) in paragraph 7, in sub-paragraph (b) for the words “shall be recognized”, the words “may be recognized” shall be substituted.
6. Notification dated 06.08.2014 – Vide Notification dated August 6, 2014, amendment has been made in Schedule VII of the Companies Act, 2013 whereby Slum Area Development has been included for the purpose of CSR Activities.
The explanation defines ‘Slum Area’ as any area declared as such by the Central Government or State Government or any other competent authority under any law for the time being in force.
7. Notification dated 25.07.2014 – Public companies having paid-up share capital of rupees one hundred crore or more and annual turnover of rupees one thousand crore or more which are engaged in multiple businesses and have appointed Chief Executive Officer for each such business shall be the class of companies for the purposes of the second proviso to sub-section (1) of section 203 of the said Act.
8. S.O.1525(E) dated 13.06.2014 – Notification for registrar of Companies at Hyderabad having territorial jurisdiction in the whole State of Telangana: The Central Government hereby establish the office of the Registrar of Companies at Hyderabad having territorial jurisdiction in the whole State of Telengana for discharging the functions of the Registrar of Companies under the various provisions of the said Act and appoints the Registrar of Companies, Hyderabad as Registrar of Companies for the purpose of registration of companies under the said Act in the State of Telangana.
9. S.O.1524(E) dated 13.06.2014 – Notification for the Official Liquidator at Hyderabad having territorial jurisdiction in the whole State of Telangana: the Central Government hereby establish the office of the Official Liquidator at Hyderabad having territorial jurisdiction for the purposes of the said Act for discharging the functions of the Official Liquidator in the whole State of Telengana and appoints the Official Liquidator at Hyderabad as Official Liquidator for the liquidation of companies under the said Act in the State of Telengana.
10. S.O.1459(E) dated 06.06.2014 – Commencement of provisions of sub sections (2) and (3) of section 74 – This notification shall come into force from June 06, 2014. Provisions of section 74(2) & (3) of the Companies Act, 2013 have been brought into force with effect from 6th June, 2014 and the Company Law Board (CLB) has been allowed to exercise the powers to allow further time to companies for repayment of deposits/interest in certain cases.
11. S.O.1353(E) dated 21.05.2014 – Delegation of Powers to Registrar of Companies
a. Section 4(2) – Name Undesirability
b. Section 8(1) – Issue of License for Charitable Companies
c. Section 8(4)(i) – Alteration of Provisions of Memorandum or Articles of Charitable Companies, except for conversion into another kind of company
d. Section 8(5) – Conversion of ‘Limited’ or ‘Private Limited’ Company into a Charitable Company
e. Section 13(2) – Change of name of Company
12. S.O.1354(E) dated 21.05.2014 – Delegation of powers u-s 153 and 154 of CA 2013 to RD Noida : Allotment of Director Identification Number (DIN)
13. S.O.1352(E) dated 21.05.2014 – Delegation of powers under section 458 of CA 2013 to RDs : Delegation of powers to the Regional Directors at Mumbai, Kolkata, Chennai, Noida, Ahmedabad, Hyderabad and Shillong
a. Section 8(4)(i) – Alteration of Provisions of Memorandum or Articles of Charitable Companies in case of conversion into another kind of company
b. Section 8(6) – Revocation of license of company registered under Section 8
c. Section 13(4) & 13(5) – Alteration of Registered Office Clause – Change from one state to another
d. Section 16 – Rectification of name of company
e. Section 87 – Rectification by Central Government in Register of Charges
f. Section 111(3) – To order non-circulation of any statement related to proposed resolution or business to be dealt with at members’ meeting, which renders abuse of law and is for securing needless publicity for defamatory matter.
g. Section 140(1) – Removal of auditor from his office, before expiry of his term
h. Proviso (i) to Section 399(1) – Powers of Central Government in relation to Inspection, production and evidence of documents kept by Registrar
The useful life of an asset shall not be longer than the useful life specified in ‘Part C’ and the residual value shall not be more than five percent of the total cost of the asset. However, a different useful life or residual value may be used, provided the justification for the same is disclosed in the financial statements.
For Intangible Assets, provisions of accounting standards in force shall apply. However, in case of Intangible Assets (Toll Roads), created under BOT, BOOT or any other form of PPP, the mode of Calculation of Amortization Rate and Amortization Amount has been specified.
15. S.O.(E) dated 27.03.2014 – Nomenclature of various forms prescribed under the provisions of Companies Act, 2013 being notified.
16. S.O 902(E) dated 27.03.2014 – Commencement Notification of Companies Act, 2013 – Date of commencement of the sections mentioned therein – April 01, 2014.
17. S.O.582(E) dated 27.02.2014 – Notification relating to effective date of provisions of section 135 and Schedule VII of Companies Act, 2013: Notification of Commencement of Section 135 and Schedule VII of Companies Act, 1956 from April 01, 2014.
18. G.S.R.130(E) dated 27.02.2014 – Notification relating to amendments of Schedule VII of Companies Act, 2013 : Substitution of activities mentioned in Schedule VII, via amendment.
(i) eradicating hunger, poverty and malnutrition, promoting preventive health care (Now – promoting health care including preventive health care) and sanitation and making available safe drinking water:
(ii) promoting education, including special education and employment enhancing vocation skills especially among children, women, elderly, and the differently-abled and livelihood enhancement projects;
(iii) promoting gender equality, empowering women, setting up homes and hostels for women and orphans; setting up old age homes, day care centres and such other facilities for senior citizens and measures for reducing inequalities faced by socially and economically backward groups;
(iv) ensuring environmental sustainability, ecological balance, protection of flora and fauna, animal welfare, agro-forestry, conservation of natural resources and maintaining quality of soil, air and water;
(v) protection of national heritage, alt and culture including restoration of buildings and sites of historical importance and works of art; setting up public libraries; promotion and development of traditional and and handicrafts:
(vi) measures for the benefit of armed forces veterans, war widows and their dependents;
(vii) training to promote rural sports, nationally recognized sports, paralympic sports and Olympic sports;
(viii) contribution to the Prime Minister’s National Relief Fund or any other fund set up by the Central Government for socio-economic development and relief and welfare of the Scheduled Castes, the Scheduled Tribes, other backward classes, minorities and women;
(ix) contributions or funds provided to technology incubators located within academic institutions which are approved by the Central Government
(x) rural development projects.
19. G.S.R.261(E) dated 31.03.2014 – Corrigenda to Notification No. GSR 130E dated 27.02.2014 regarding Schedule VII [w.r.t CSR Activities] : “Promoting Preventive health care” in notification G.S.R.130(E) dated 27.02.2014 Point (i) be read as “promoting health care including preventive health care”.