CSR Amendment Rules, 2021: A New Paradigm

The concept of Corporate Social Responsibility (hereinafter referred as CSR) is known for its philanthropic nature. The term has its traces from the pre-independence era when Mahatma Gandhi urged rich industrialists to contribute their share of wealth towards poor and marginalized sections. Thus, CSR acts as an ethical obligation on the companies to utilize their resources in addressing the needs of society and to ensure the companies' sustainability in the long run. With the passage and...

CSR Amendment Rules, 2021: A New Paradigm

The concept of Corporate Social Responsibility (hereinafter referred as CSR) is known for its philanthropic nature. The term has its traces from the pre-independence era when Mahatma Gandhi urged rich industrialists to contribute their share of wealth towards poor and marginalized sections. Thus, CSR acts as an ethical obligation on the companies to utilize their resources in addressing the needs of society and to ensure the companies' sustainability in the long run. With the passage and...

"If There Is No Field In MCA Portal For Lawyers As Professionals To Register Companies/LLPS It Would Be Discriminatory": Delhi High Court

Delhi High Court has on Monday directed Central Government to file an affidavit in the plea filed challenging the non-providing of a field for Advocates to register companies and LLPs on behalf of their clients in the current Ministry of Corporate Affairs' portal. A single Bench of Justice Pratibha Singh observed that if its true that MCA's portal has no provision made for Advocates who are members of Bar Councils and Bar Councils are not provided as an option in the list of...

10 Important Factors An E-Commerce Entity Must Know To Deal With The Consumers In 2020

As per ministry of communication, Govt. of India, the number of internet users in India is expected to grow to 730 million by the year 2020. Due to adoption of digital technology, on the one hand E-commerce entity, where transactions occur directly with the consumers (B2C), multiplied rapidly and at the same time internet using consumers have grown fast in the past few years in India. Keeping in view the new set of challenges faced by consumers in the digital age, Consumer Protection Act,...

Tata Sons' Process Of Removal Of Cyrus Mistry Against Corporate Democracy: Divan Argues In Supreme Court

The courtroom battle in the Tata Sons case reached to day 6 of continuous hearings by the parties. A three judge bench headed by Chief Justice of India SA Bobde heard the arguments advanced by Mr. Shyam Divan, another Counsel appearing on behalf of Cyrus Mistry. Mr. Divan presented his arguments on three aspects. First, 10 main aspects relating to corporate governance and relationship between the SPG and Tata Sons; second, two Articles from the AoA and three, statutory provisions...

There Is No Constitutional Right For Insisting On Continuation Of Union's Stake In BPCL; Bombay HC Dismisses Petitions Challenging UOI's Decision To Disinvest

The Bombay High Court on Thursday dismissed petitions primarily challenging the decision taken by the union of India of in-principle disinvestment of its shareholding in Bharat Petroleum Corporation Ltd observing that there is no fundamental or constitutional right for insisting on continuation of Union's strategic stake in BPCL.Division bench of Justice SC Gupte and Justice Madhav Jamdar was hearing a writ petition filed by Federation of all Maharashtra Petrol Dealers Association along with...

SC Dismisses Mahua Moitra's Plea Challenging Exclusion Of Donations To CM's Relief Fund From CSR

The Supreme Court on Monday dismissed plea filed by TMC MP Mahua Moitra which challenged the Centre's circular which states that Chief Minister's Funds or State Relief Funds will not come within the purview of Corporate Social Responsibility (CSR) activities under Section 135 of the Companies Act. A Bench comprising of Justices Ashok Bhushan, R. Subhash Reddy ad BR Gavai heard the matter and noted that Moitra had filed a similar plea which had been dismissed on May 5, 2020....

[Company Secretary] SC Issues Notice On Plea Against MCA Increasing Mandatory Limit For CS Appointment As Rs 10 Crores Paid Up Capital

The Supreme Court on Wednesday issued notice in a plea seeking declaration of the notification dated January 1 by the Centre and its subsequent enforcement w.e.f. 01.04.2020 as being ultra-vires and repugnant to the article 14, 19(1)(g) of the Constitution of India. The impugned notification issued by the Ministry of Corporate Affairs has enhanced the mandatory limit for engaging Company Secretary from 5 Crore to 10 crores. The plea contends that lack of a robust mechanism leads to a large...

Advocates, Doctors, CAs Now Covered Under MSME Loan Scheme

The Union Finance Ministry has expanded the scope of the MSME loan scheme announced in the wake of COVID-19 to include professionals like doctors, lawyers, chartered accountants and others, reported the Financial Express.The 3-lakh crore scheme was announced by Finance Minister, Nirmala Sitharaman, in May as part of Government's 'Athmanirbhar package' to help the Micro, Small and Medium Enterprises."The government has decided to relax the eligibility criteria for tapping the Rs 3-lakh-crore...

Delhi HC Dismisses Plea Seeking Inclusion Of Advocates As Eligible Professionals To Access Benefits Under MSME Act

The Delhi High Court on Wednesday refused to entertain a plea seeking inclusion of advocates as eligible professionals under the scheme of Micro Small & Medium Enterprises Development Act, in order to make them eligible for beneficial credit facilities. While dismissing the PIL, the Division Bench of Chief Justice DN Patel and Justice Prateek Jalan highlighted that the original purpose of a Public Interest Litigation is to voice the concerns of the downtrodden. Filed by...

Taking White Collar Crime Seriously

A rising tide lifts all boats.[1]It is only when the tide goes out that you learn who has been swimming naked.[2]Afinancial crisis is often followed by a rise in financial crimes. A crisis, such as the one we now face, not only presents an opportunity (and greater motivation) for all sorts of financial shenanigans but also lays bare – the true financial position of a lot of corporations. You'd recall when the proverbial economic tide went-out in 2008 (because of the global financial crisis)...

A To Z Of The Insolvency And Bankruptcy Code: A Beginner's Guide (Part II)

In the previous part (click here), we gave you a general background to the Insolvency and Bankruptcy Code, 2016 (IBC) and tried unpacking some specific concepts crucial to its functioning. We introduced you to the central actors of the IBC regime: Adjudicating Authority (AA), Committee of Creditors (CoC) and financial creditors, including the latest addition to the group—homebuyers. Additionally, we briefly analysed some of the more advanced concepts such as 'cross-border insolvency', 'group...