Companies

Company Law Committee's term extended by one year

K.R.Srivats New Delhi | Updated on September 19, 2020 Published on September 19, 2020

The Corporate Affairs Ministry (MCA) has extended by one year the term of the existing Company Law Committee (CLC) that was set up to promote Ease of Living in the country by providing Ease of Doing Business to law abiding corporates and fostering improved corporate compliance for stakeholders at large.

The tenure of the CLC has been extended up to September 17, 2021, official sources said.

It may be recalled that MCA had on September 18 last year set up the 11-member CLC under the Chairmanship of MCA Secretary for making recommendations to the Government on various provisions and issues pertaining to implementation of the Companies Act 2013 and the Limited Liability Partnership Act 2008.

This panel comprised Uday Kotak, Managing Director & CEO, Kotak Mahindra Bank; Siddarth Birla, Chairman, Xpro India Limited and Past Presidents of ICAI Amarjit Chopra and G Ramaswamy besides leading lawyers Shardul S Shroff, Executive Chairman, Shardul Amarchand Mangaldas & Co and Ajay Bahl, Founder and Managing Partner, AZB & Partners.

Speaking to BusinessLine, Amarjit Chopra, Senior Partner, GSA Associates and NFRA part time member said this CLC had over the last one year worked towards decriminalising the Companies Act 2013 with a view to ensure Ease of Doing Business. Now the CLC during its extended term will look to do that for limited liability partnerships (LLPs) as well, Chopra said.

Over the last few years, the Government has been focusing on improving the Ease of Doing business in the country and even taken steps to amend the company law to re-categorise certain offences under the company law into ‘civil wrongs’ and de-clog the National Company Law Tribunal (NCLT).

The CLC set up last year was also tasked to propose measures to further declog and improve the functioning of the NCLT. It was also asked to suggest measures for removing any bottlenecks in the overall functioning of the statutory bodies like SFIO, IEPFA and NFRA.

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Published on September 19, 2020
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