The Ministry of Labour & Employment is administering over 40 Labour Laws. These laws are enforced by Central and State Enforcement agencies in their respective spheres. This mufti-faceted compliance system has been the point of criticism for the industry in general leading to severe compliance backlog. In response to the requests from various stake-holders for... Continue Reading →
MCA Clarification: FCCB issue does not require to comply with Public Offer / Private Placement Provisions
The Ministry of Corporate Affairs has yesterday (November 13, 2014) vide its circular clarified in response to industry references that the provisions of Chapter III of the Companies Act, 2013 dealing with Prospectus and Allotment of Securities shall not apply to an issue of FCCBs and FCBs made exclusively to persons resident outside India in... Continue Reading →
The Current Position on Corporate Social Responsibility
After our last blog on Corporate Social Responsibility (almost a year ago), the Government has notified Section 135 of the Companies Act, 2013 and amended certain portions of Section 135 and Schedule VII at the time of notification of these provisions. In this post, we seek to highlight certain key changes to the law pertaining... Continue Reading →
Insider Trading: The Indian law on this so far
Justice K.S. Radhakrishnan has held in a recent case that: “SEBI, the market regulator, has to deal sternly with companies and their Directors indulging in manipulative and deceptive devices, insider trading etc. or else they will be failing in their duty to promote orderly and healthy growth of the Securities market. Economic offense, people of... Continue Reading →
FDI in LLP: The Law Giveth and Taketh Away
Foreign Investors setting up business in India can enter the Indian market through many ways including establishing a Branch / Liaison Office, incorporating a subsidiary in India, through a Limited Liability Partnership (LLP) and other means that have been prescribed. A LLP is viewed as an alternate corporate business vehicle that provides the benefits of... Continue Reading →
Compliances with Companies Act, 2013 by Private Limited Companies with respect to loans to directors (Part 5)
Companies advancing loans or providing securities for loans taken by Directors has always been a very complex subject. This is particularly so for private companies which are most often run by promoter directors. Some private companies are closely held family concerns where the family members are directors and it is quite common for the companies... Continue Reading →
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