Today Last Date for Submitting Suggestions for the First Tranche of Draft Rules under the Companies Act 2013

Draft Rules for Another 9 Chapters Released for Public Comments

After an extension of 2 days, tomorrow is the last date for submitting suggestions/ comments for the first tranche of Draft Rules being framed under the Companies Act, 2013. The Ministry of Corporate Affairs had, through an advertisement in newspapers last month, invited suggestions/ comments from all the stakeholders for the first tranche of Draft Rules and had fixed 8th October 2013 as the last date. However, the last date had been extended by 2 days till 10th October.

Under the first tranche of Draft Rules, the following 16 Chapters have been covered: Chapter I – Preliminary; Chapter II - Incorporation of Company and Matters Incidental Thereto; Chapter VI - Registration of Charges; Chapter VIII - Declaration and Payment of Dividend; Chapter IX - Accounts of Companies; Chapter X - Audit and Auditors; Chapter XI - Appointment and Qualification of Directors; Chapter XII - Meeting of Board and its Powers; Chapter XVI - Prevention of Oppression and Mismanagement; Chapter XVIII - Removal of Name of Companies from the Register of Companies; Chapter XIX - Revival and Rehabilitation of Sick Companies; Chapter XXII - Companies Incorporated Outside IndiaChapter XXIV - Registration Offices and Fees; Chapter XXVI – Nidhi;Chapter XXVII - National Company Law Tribunal and Appellate Tribunal; and Chapter XXIX – Miscellaneous.

Meanwhile, the Ministry has put up the 2nd tranche of Draft Rules for public comments. In this phase, nine Chapters have been covered and the last date for sending such comments is 19th October 2013.

All the Draft Rules put out for public comments, as also the Companies Act, are available on the website of the Ministry of Corporate Affairs.

Draft rules under the Companies Act seek public comments on corporate governance and compliance provisions for key company matters. Stakeholders are invited to submit suggestions on the first tranche of draft rules under the Companies Act, which cover sixteen chapters including Company Incorporation, registration of charges, declaration and payment of dividend, accounts, audit and auditors, appointment and qualification of directors, board meetings and powers, prevention of oppression and mismanagement, removal of company names, revival and rehabilitation of sick companies, registration offices and fees, Nidhi provisions, and miscellaneous procedural matters; drafts are available on the Ministry website.