Auditor reporting scope expanded to require detailed related party loan, internal control and tax dispute disclosures.
The Order amends auditor reporting obligations by setting quantitative thresholds for private company exemptions; omitting specified clauses in paragraph 2; and revising paragraph 4 to require auditors to disclose detailed information on loans to and from parties in the register under section 301, assess whether loan terms are prima facie prejudicial, report on repayment regularity and recovery steps for overdue amounts, evaluate adequacy of internal controls for purchases, sales and fixed assets, confirm register entries and market reasonableness of related party transactions, broaden referenced statutory forums, and expand tax dispute disclosure requirements.

Cost accounting records requirement now applies to milk food manufacturers, defining infant milk food and milk food compositions.
Amendment clarifies that the rules apply to companies producing, processing or manufacturing Infant Milk Food and Milk Food, excluding Small Scale Industrial Units, and replaces definitions: "Infant Milk Food" covers milk foods for routine, complementary or supplementary feeding of infants and children up to five years and modified milk foods for gastro intestinal treatment; "Milk Food" is defined by composition including milk derivatives, malted cereals or cereal flours, flavouring agents, minerals, vitamins, cocoa and sweeteners.

Rescission of Nidhi declaration based on inspection and regulatory information removes company's Nidhi status upon notification.
Central Government rescinded the declaration that M/s. Singh Mutual Benefit Company Limited was a Nidhi, based on an inspection report and Reserve Bank information establishing the company does not function as a Nidhi; the rescission takes effect from the date of publication and withdraws the earlier government notification declaring it a Nidhi.

National Advisory Committee on Accounting Standards constituted to advise the central government on formulation and adoption of accounting policies and standards.
Constitution of the National Advisory Committee on Accounting Standards to advise the Central Government on formulation and laying down of accounting policies and accounting standards for adoption by companies or classes of companies; lists Chairperson and institutional, regulatory and industry nominee members with a common terminal term of office and states the notification takes effect from publication in the Official Gazette.

Modification of Companies Act application to Nidhis - notifies specified companies as Nidhis and prescribes applicable exemptions.
Central Government, invoking section 620A of the Companies Act, 1956, declares the listed companies to be Nidhis and directs that specified provisions of the Act shall not apply or shall apply with exceptions, modifications and adaptations as indicated in prior government notifications; the notification amends the principal Schedule by adding serial entries identifying each notified Nidhi by name and registered office, integrating these entities into the statutory framework governing Nidhis.

Notification amendment under Companies Act substitutes a member entry, designating J.K. Mittal, Delhi as Member.
The Central Government, exercising statutory power under the Companies Act, substitutes serial number eight and its related entries in the earlier Gazette notification S.O. 125(E) (dated 28-1-2004) with a new entry naming J.K. Mittal, Delhi as Member; the change is issued by the Ministry of Company Affairs via a Gazette amendment.

Notification amendment: substitution of serial entry to list SICOM Limited under the Companies Act notification.
The Central Government issues a corrigendum under the Companies Act to amend the principal notification S.O. 1329 (8 May 1978) by substituting serial number 44 and its entries with the following entry: "44. SICOM Limited;" as published in S.O. 544(E) dated 30 April 2004, thereby effecting an administrative revision to the notified list of companies.

Disclosure exemption for overseas IT employees permits omission from Board's report while requiring ROC filing and AGM access on request.
The amendment permits omission from the Board's report of particulars of overseas employees in the Information Technology sector who are not directors or relatives and who exceed specified remuneration thresholds, provided those particulars are furnished to the Registrar of Companies and made available to any shareholder who specifically requests them during the annual general meeting; Information Technology is defined by reference to clause (iii) to Explanation 2 to para 2.2.2 of the SEBI (Disclosure and Investor Protection) Guidelines, 2000.

Related-party deposits allowed from directors, relatives or members if accompanied by written declaration that funds are not borrowed.
The amendment substitutes clause (ix) in rule 2(b) to permit amounts received from a director, a relative of a director, or from a member by a private company only where the giver furnishes at the time of giving a written declaration that the amount is not sourced from funds acquired by borrowing or accepting from others.

Declaration of public financial institutions expands specified entities, altering their regulatory designation and obligations under company law.
The Central Government, exercising its statutory power under the Companies Act, amends the principal Gazette notification to specify six additional named institutions as public financial institutions by inserting their entries into the established list of such institutions, thereby extending the regulatory designation to those entities and recording the amendment and administrative references.

Issue of Indian Depository Receipts: conditions, approvals and listing requirements govern foreign issuers raising funds in India.
Rules prescribe a framework for issuance of Indian Depository Receipts (IDRs) by foreign companies, requiring SEBI permission, appointment of a domestic depository, overseas custodian and merchant banker, delivery of underlying equity to the overseas custodian, filing of draft and final prospectus through a merchant banker with specified certifications, and in principle listing approval from nationwide stock exchanges. The prospectus must include detailed disclosures as per the Schedule, and post issue obligations cover denomination in Indian Rupees, issuance limits, lock in before redemption into underlying shares, continuous disclosure of utilization of funds and quarterly audited financial results.

Ban on sole selling agents for specified drugs: temporary prohibition where demand exceeds supply, restricting such appointments nationwide.
The Central Government declares a nationwide prohibition on appointment of sole selling agents for every category of bulk drugs, drugs and formulations as defined in the Drugs (Prices Control) Order, 1995 where demand substantially exceeds production or supply and the services of such agents are unnecessary to create a market. The ban excludes bona fide Ayurvedic (including Siddha) or Unani (Tibb) preparations and Homoeopathic preparations and applies for the stated limited period from notification.

Investor Education and Protection Fund committee constituted to administer the Fund, chaired by Secretary DCA with two-year term.
A statutory committee is constituted to administer the Investor Education and Protection Fund under sub-section (4) of section 205C of the Companies Act, 1956, chaired by the Secretary, Department of Company Affairs. The committee includes senior DCA officials, representatives of RBI and SEBI, nominated experts from academia, investor analysts, journalists, parliamentarians and chartered accountants; the Vice Chairman, Company Law Board is Special Invitee, the Joint Secretary, DCA is Convenor, and members serve two-year terms from notification.

Nidhi designation: four named companies formally declared Nidhis and placed under specified Company Law exceptions and adaptations.
Declaration that four specified companies are Nidhis under the Companies Act, 1956 and are subject to directions in earlier Government notifications; directs that provisions listed in schedule III to the earlier G.S.R. 978 notification shall not apply or shall apply with the exceptions, modifications and adaptations specified; amends the principal notification by adding the four companies to schedule I.