Section 149 subsection 3 of the Companies Act 2013 state as follows: “Every company shall have at least one director who has stayed in India for a total period of not less than one hundred and eighty-two days in the previous calendar year” Let us first analyse the provision- The provision is applicable to all […]
Category: Notes
On its way to the journey of implementation of Companies Act 2013, MCA introduces the following new eforms Serial no New form Purpose of the form 1 INC-1 Application for reservation of name 2 INC-2 OPC- Application for Incorporation 3 INC-3 OPC- nominee consent forms 4 INC-4 OPC-change in members/nominees 5 INC-5 OPC-Intimation of cessation […]
Glance on provisions affecting private companies Section Details Brief Provision Section 2(41) Definitions Financial Year of any Company can end only on March 31 and only exception is for companies, which are holding / subsidiary of a foreign entity requiring consolidation outside India, can have a different financial year with the approval of Tribunal. Section […]
After a long wait – Companies Bill, 2008 became Companies Bill, 2009 and then Companies Bill, 2011. Based on Parliamentary Standing Committee’s recommendations, it was again amended and finally now we have Companies Bill, 2012 – Passed in Lok Sabha on 18th Dec 2012 at 10:46 PM The Companies Bill, 2012 has been passed by the […]
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Note on FDI allowed in LLP
The Cabinet Committee of Economic Affairs (CCEA) has today approved Foreign Direct Investment (FDI) in Limited Liability Partnership (LLP) firms. The FDI in LLP has been permitted subject to the following conditions: -FDI upto 100% will be permitted with the prior approval of Foreign Investment Promotion Board (FIPB) for the sectors falling under 100% automatic […]
The Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations states that an insider shall not- on his behalf or on behalf of any other person deal in securities or communicate such information to any other person, who while in possession of such information shall not deal in securities. “Insider means any person […]
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Resignation of a Director
The Companies Act does not have any provision governing the resignation of a Director. Section 284 of the Act provides for removal of a Director in a General Meeting, whereas Section 283 deals with vacation of office in certain specific circumstances. Nothing has been mentioned in the statute with reference to resignation of a Director […]
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Disqualification of Directors u/s 274(1)(g)
The provision of Section 274(1) (g) was inserted by the Companies (Amendment) Act, 2000 w.e.f. 13-12-2000. The provision states as follows: Provision: A person shall not be capable of being appointed director of a company, if such person is already a director of a public company which- (A)Has not filed the annual accounts and¹ annual […]