Back to Projects
JOIN WHATSAPP GROUP
Free PSC MCQ 4 Lakhs+
Please Write a Review
Current Affairs 2018 to 2022
PYQ 1200 Q/A Part - 1
PYQ 1200 Q/A Part - 2
PYQ 1200 Q/A Part - 3
PYQ 1200 Q/A Part - 4
PYQ 1200 Q/A Part - 5
Kerala PSC India Year Book Study Materials Page 217
Book's First Page➢ Provision of self-regulation with disclosures/transparency instead of ‘Government approval based regime’. ➢ Automation of corporate records/meetings - statutory recognition to (i) maintenance of documents by companies in electronic form, (ii) ‘video-conferencing’ as a mode of conducting board meetings, etc. ➢ Faster mergers and acquisitions including short form of mergers and cross border mergers. ➢ Summary liquidation: For companies having net assets of ₹ 1 crore or less, Official Liquidators (OLs) are empowered with adjudicatory powers. ➢ National Company Law Tribunal (NCLT) has been constituted under Section 408 in 2016. ➢ Concept of ‘dormant companies’ introduced (companies not engaged in business for two consecutive years can be declared as dormant). ➢ Concept of One Person Company (OPC) introduced. II. Good Corporate Governance and Corporate Social Responsibility (CSR) ➢ Concept of Independent Directors (IDs) included as a statutory requirement u/s 149 (4). ➢ Provision for constitution of several committees of the Board (Audit Committee, Nomination and Remuneration Committee, Stakeholders Relationship Committee and CSR Committee). ➢ Woman Director for prescribed class of companies. ➢ Mandatory provision for constitution of CSR Committee and formulation of CSR Policy, with mandatory disclosure, for prescribed class of companies. III. Enhancing Accountability of Management ➢ The term ‘Officer in Default’ has been reviewed to make it more relevant. ➢ Terms ‘Key Managerial Personnel’ (KMP) and ‘Promoter’ defined to affix responsibility on key functionaries of the company. ➢ Duties of Directors defined, including to shareholders, employees, the community and environment. ➢ Cap on number of Directorships: 20 companies, of which 10 can be public companies. IV. Strengthened Enforcement ➢ The Central Government to have powers to order investigation, suo-motu, in public interest. ➢ Statutory recognition of Serious Fraud Investigation Office (SFIO). ➢ Special Courts have been constituted under Section 435 in 2016. ➢ Search and seizure of documents, during investigation, without an order from a Magistrate. ➢ Freezing of assets or disgorgement of illegal gains of company under investigation. V. Audit Accountability ➢ Recognition of accounting and auditing standards. ➢ Stricter disqualification norms for auditors.