Companies Act 2013

Buyback of Shares of Private/Unlisted Company

Company Law - Meaning of Buyback for Private Company or Unlisted Company Buyback is governed by section 68 of the companies act, 2013, Buy back of shares means purchase of its own shares by a company: When shares are bought back by a company, they have to be cancelled by the company. Thus, share buyback results in decrease in […]...

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A GIST About Secretarial Standrads

Company Law - Secretarial Standards are policies that define a typical structure and process for carrying out particular tasks within an organisation. Secretarial Standards covering a variety of subjects, such as Board of Directors and General Meeting meetings, the upkeep of registers and records, and the selection and compensation of directors, have b...

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Regulatory updates for the Month of March 2023

Company Law - Company Law: 1. MCA establishes a Centre for Processing Accelerated Corporate Exit (C-PACE)  C-PACE is expected to expedite the voluntary winding-up of bankrupt companies to less than six months from the mandatory two years at In Union Budget 2023-23, FM had proposed to establish the Centre for Processing Accelerated Corporate Exit (C-PA...

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Conversion of ECB into Equity Shares

Company Law - For Conversion of ECB into Equity it is mandatory that company had entered into agreement at time of raising loan and it is mentioned in any clause that company can convert loan into Equity/Preference shares in future....

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Procedure for Conversion of OPC Into Private Company

Company Law - One person Company is totally a revolutionized concept brought by Companies Act, 2013 where a single person can easily form a company of his own enjoying both the benefits of sole ownership as well as corporate identity....

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Request for extension of time period for filing of Form CSR 2

Company Law - ICSI Request for extension of time period for filing of Form CSR 2 for the financial year ended March 31, 2022 without levying additional fee...

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Financial Reporting Quality Review Report (FRQRR) of PSP Projects Limited

Company Law - NFRA undertook Financial Reporting Quality Review of Standalone Financial Statements of PSP Projects Ltd. on the basis of NFRA’s statistical sampling approach....

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MCA V3: Extension for filing Company e-forms and physical filing

Company Law - A. EXTENSION FOR FILING OF 45 COMPANY E-FORMS, PAS-03 & SPICE+ PART A *MCA General Circular No. 04/2023  Dtd. 21st February, 2023 – In continuation of General Circular No. 01/2023 dtd. 09th January, 2023 & General Circular No. 03/2023 dtd. 07th February, 2023, the MCA after taking into consideration the change in way of fil...

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ICSI Helplines for resolution of issues on MCA21-V3 Portal

Company Law - Institute has been receiving queries regarding the issues being faced by stakeholders in filling and filing of e-Forms on MCA-21 V3 portal. ...

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MCA- 21 V3 Portal – Common issues/concerns/ technical glitches

Company Law - We are sharing common issues/concerns/ technical glitches on MCA- 21 V3 Portal for your kind perusal and early resolution...

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Authorized signatory of cheque, not being drawer, cannot be directed to pay interim compensation

Lyka Labs Limited Vs State of Maharashtra (Bombay High Court) - Lyka Labs Limited Vs State of Maharashtra (Bombay High Court) Bombay High Court held that the signatory of the cheque, authorized by the “Company”, is not the drawer in terms of section 143A of the Negotiable Instruments Act and cannot be directed to pay interim compensation under sectio...

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Striking off companies name due to default in submitting statutory record due to some internal disputes is unsustainable

Sirsa Jute Mills Private Limited Vs Registrar of Companies NCT of Delhi and Haryana (NCLAT Delhi) - NCLAT Delhi held that striking off of the companies name due to default in submitting of a statutory record because of some internal disputes among the shareholders and management is unsustainable in law....

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Calcutta HC on appointment & responsibility of additional director

Surendra Kumar Singhi Vs Registrar of Companies, West Bengal & Anr (Calcutta High Court) - Surendra Kumar Singhi Vs Registrar of Companies, West Bengal & Anr (Calcutta High Court) Sub- What is the criteria for determining whether the director is an additional director or independent director? Also whether an additional director is liable for prosecution regarding the non reporting of ...

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NCLT- No rectificatory jurisdiction for violation of SEBI regulations: SC

IFB Agro Industries Limited Vs Sicgil India Limited (Supreme Court of India) - IFB Agro Industries Limited Vs Sicgil India Limited (Supreme Court of India) Recently, the Supreme Court in the landmark case of IFB Agro Industries Limited v. Sicgil India Limited and Ors held that NCLT does not have the power to exercise rectificatory jurisdiction under the section 59 of the Compa...

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Scheme of compromise and arrangement found to be beneficial to related creditors hence liquidation sustained

Bankey Bihari Infrahomes Pvt. Ltd Vs Alok Kumar Kuchchal (NCLAT Delhi) - NCLAT Delhi held that scheme of compromise and arrangement is found to inflate the total payments by provisioning payment to creditors who are related to corporate debtor. Hence, impugned order allowing the Liquidator to proceed with the e-auction and not allowing any more time for consideration of ...

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IBBI takes lenient view against Registered Valuer for minor procedural deviations

Order No. IBBI/Valuation/Disc./09/2023 - (22/03/2023) - IBBI observes that procedural contraventions fall in the category of minor procedural deviations, hence IBBI inclined to take a lenient view...

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MCA penalises company for violation of provisions related to private placement

Notification No. ROC/D/ADJ/Section 42/ALPUR/1324 to 1329 - (22/03/2023) - In terms of the proviso to the Section 42(4), company shall not utilise monies raised through private placement unless allotment is made and return of allotment is filed with the Registrar in accordance with sub-section (8). However, the company has admitted in its letter dated 18.11.2022 that it ha...

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Strike off` of Companies & other ‘Corporate Exits’ to become centralised from 1-4-2023

S.O. 1269(E) - (17/03/2023) - Central Government hereby establishes a Centre for Processing Accelerated Corporate Exit (C-PACE). C-PACE shall be located at Indian Institute of Corporate Affairs (IICA), Plot No. 6, 7, 8, Sector 5, IMT Manesar, District Gurgaon (Haryana), Pin Code - 122050....

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Penalty on Company for not affixing its name in conspicuous position

No. ROC/2023/AXIS PIGMENTS /PENALTY ORDER/ 1242-1245 - (16/03/2023) - During inspection, the 1.0 physically visited the registered office of the company on 09.08.2019 and found that company had not affixed or paint its name in conspicuous position accordance to the provisions of Section 12(3)(a) which shows that company has made the violation of section 12(3)(a) of th...

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Penalty imposed for not numbering Board Meeting & pages in minute book

RoCP/ADJ/ order/ 118/ 22-23/ KUDOS/2418 to 2423 - (10/03/2023) - The applicant company and its officers, who have defaulted the provisions of section 118(10) of the Act for not numbering Board Meeting and the pages in the minute book of the company and Minutes book are not signed by the Chairman, further, the minute book of the Company is not paginated at all....

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Recent Posts in "Companies Act 2013"

Buyback of Shares of Private/Unlisted Company

Meaning of Buyback for Private Company or Unlisted Company Buyback is governed by section 68 of the companies act, 2013, Buy back of shares means purchase of its own shares by a company: When shares are bought back by a company, they have to be cancelled by the company. Thus, share buyback results in decrease in […]...

Read More
Posted Under: Company Law |

A GIST About Secretarial Standrads

Secretarial Standards are policies that define a typical structure and process for carrying out particular tasks within an organisation. Secretarial Standards covering a variety of subjects, such as Board of Directors and General Meeting meetings, the upkeep of registers and records, and the selection and compensation of directors, have b...

Read More
Posted Under: Company Law |

Regulatory updates for the Month of March 2023

Company Law: 1. MCA establishes a Centre for Processing Accelerated Corporate Exit (C-PACE)  C-PACE is expected to expedite the voluntary winding-up of bankrupt companies to less than six months from the mandatory two years at In Union Budget 2023-23, FM had proposed to establish the Centre for Processing Accelerated Corporate Exit (C-PA...

Read More
Posted Under: Company Law |

Conversion of ECB into Equity Shares

For Conversion of ECB into Equity it is mandatory that company had entered into agreement at time of raising loan and it is mentioned in any clause that company can convert loan into Equity/Preference shares in future....

Read More
Posted Under: Company Law |

Procedure for Conversion of OPC Into Private Company

One person Company is totally a revolutionized concept brought by Companies Act, 2013 where a single person can easily form a company of his own enjoying both the benefits of sole ownership as well as corporate identity....

Read More
Posted Under: Company Law |

Authorized signatory of cheque, not being drawer, cannot be directed to pay interim compensation

Lyka Labs Limited Vs State of Maharashtra (Bombay High Court)

Lyka Labs Limited Vs State of Maharashtra (Bombay High Court) Bombay High Court held that the signatory of the cheque, authorized by the “Company”, is not the drawer in terms of section 143A of the Negotiable Instruments Act and cannot be directed to pay interim compensation under section 143A. Facts- The issue involves that w...

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Understanding Section 62(4) of Companies Act with Practical Example

The sub section (4) of section 62 of companies act 2013, also talks about conversion of loans, debentures raised from government into equity of the company  when it may be necessary in public interest however it doesn’t specifically mention conversion only when the company is in distress...

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Posted Under: Company Law |

Appeal Procedure Under Companies Act, 2013

Companies Act, 2013 has provided a comprehensive framework for adjudication of disputes that arise between the companies and the Registrar of Companies (ROC) appointed by the Minister. This Law aims at regularizing the functioning of corporate law and reducing the complexity associated with arbitrary decisions and lengthy processes. All c...

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Posted Under: Company Law |

One Person Company (OPC) – Features, Advantage, Disadvantage, Formation Process

One Person Company (OPC) is a relatively new form of business entity introduced in India in 2013 under the Companies Act, 2013. It is an excellent option for small business owners and entrepreneurs who want to start a company with a single member, where the member can act as both the director and shareholder. The […]...

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Posted Under: Company Law |

Audit Trail feature in accounting software from 1st April, 2023

MCA made it mandatory for every company to fulfill requirement of an audit trail feature in their accounting software from 1st April, 2023....

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Posted Under: Company Law |

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