Companies (Amendment) Bill, 2001 – A Bird’s Eye View
Publication: SEBI & Corporate Laws, March 2002 Article Summary: This article analysed the Companies (Amendment) Bill, 2001, which proposed significant reforms to address inefficiencies in handling industrial sickness under the existing framework of the Sick Industrial Companies (Special Provisions) Act, 1985 (SICA). The earlier regime, dominated by BIFR and AAIFR, had proved ineffective due to […]
Financial Companies Regulation Bill, 2000 – An Overview
Publication: SEBI & Corporate Laws, December 2001 Article Summary: This article analysed the Financial Companies Regulation Bill, 2000, which sought to consolidate and strengthen the regulatory framework governing non-banking financial companies (NBFCs). The then prevalent regime, which was primarily based on scattered provisions under the RBI Act and multiple circulars, had proved inadequate in addressing […]
Protection of Debenture-holders’ Interests
Publication: SEBI & Corporate Laws, July 2001 Article Summary: This article analysed the amendments introduced by the Companies (Amendment) Act, 2000 to strengthen the protection framework for debenture-holders. It highlighted that prior to these changes, there was no specific statutory mechanism dedicated to safeguarding debenture-holders, despite recurring defaults in repayment of interest and principal. The […]
Dividend Payment : Protection Of Shareholders’ Interests
Publication: SEBI & Corporate Laws, May 2001 Article Summary: This article analysed the amendments introduced by the Companies (Amendment) Act, 2000 relating to declaration and payment of dividends, with a focus on strengthening shareholder protection. The article highlighted that earlier provisions lacked clarity, particularly in relation to interim dividends and timelines for payment, leading to […]
Rules On Small Shareholders’ Director Lack Clarity
Publication: Financial Express, May 2001 Article Summary: This article analysed the provisions introduced under the Companies (Amendment) Act, 2000 relating to the appointment of a director representing small shareholders, along with the corresponding rules notified thereafter. The objective of these provisions was to enable small shareholders—who individually hold limited stakes but collectively represent a significant […]
Need to Amend Section 560 of Companies Act
Publication: Business Standard, February 2001 Article Summary: This article analysed the practical challenges arising from the interplay between Section 3 and Section 560 of the Companies Act, 1956 following amendments introduced by the Companies (Amendment) Act, 2000. It highlighted that earlier, companies could be incorporated with minimal capital, leading to the proliferation of non-functional entities. […]
Protection of Small Depositors’ Interests
Publication: Business Standard, December 2000 Article Summary: This article analysed the regulatory measures introduced under the Companies (Second Amendment) Bill, 2000 to strengthen the protection of small depositors following a series of defaults by companies in repayment of fixed deposits and interest. It highlighted that rising instances of non-compliance had eroded investor confidence, necessitating stronger […]
Interest on Unpaid Dividend: Need for Caution
Publication: Business Standard, December 2000 Article Summary: This article analysed the Reserve Bank of India’s circular permitting companies to open fixed deposit accounts for parking unpaid or unclaimed dividend amounts, instead of maintaining them in non-interest-bearing current accounts. The move was welcomed as it allowed companies to earn interest on idle funds, addressing inefficiencies under […]
Need To Amend Listing Agreement
Publication: Business Standard, December 2000 Article Summary: This article analysed the relevance of Clause 47(c) of the Standard Listing Agreement in the evolving market environment, particularly in the context of increasing dematerialisation of securities. The clause originally required listed companies to obtain a certificate from a Practising Company Secretary confirming timely processing of physical share […]