Delhi HC: Writ Petition Not Maintainable Against Provisional Attachment When PMLA Remedy Exists  ||  Rajasthan HC: Magistrate Can’t Order Secured Creditor to Pay Police Expenses For Asset Possession  ||  Orissa HC: Court Can’t Permit Intervenors Without Reason or Compel Plaintiff to Join Unrelated Party  ||  Delhi HC: Section 498A IPC Applies Even if Marriage is Later Declared Invalid  ||  AP HC: State Can’t Cite Financial Constraints to Withhold Gratuity, Denying Retirees Violates Art 21  ||  Madras HC: Marriage Does Not Grant Men Absolute Authority, Woman’s Endurance is Not Consent  ||  Delhi HC: Ordinary Marital Friction or Taunts Do Not Constitute Cruelty under Law  ||  Punjab & Haryana HC: Family Property Disputes Cannot Be Resolved under Maintenance of Parents Act  ||  Delhi HC: Bribe Profits Invested in Shares Are Proceeds of Crime and Attachable under PMLA  ||  Delhi HC: 'No Coercive Steps' Does Not Mean Stay or Suspension of Investigation    

Ministry of Corporate Affairs amends Companies (Incorporation) Amendment Rules, 2021 - (25 Jan 2021)

Company

Ministry of Corporate Affair (MCA) has notified Companies (Incorporation) Amendment Rules, 2021 which sought to amend the Companies (Incorporation) Rules, 2014. The Notification amended Rule 41 of Companies (Incorporation) Rules, 2014 which relates to an application under Section 14 Companies Act, 2013 for conversion of public company into private company. In order to avail the relaxation or exemptions provided to private companies many Companies seeks conversion into private limited Companies. As per the changes, it would not be easy for Public limited Companies to convert into private limited firms. Now the deemed approval of conversion on passing of certain days has been removed.

As per the amendment, where an objection has been received from a stakeholder or Regional Director on examining the application has specific objection under the provisions of the Act, the same shall be recorded in writing. The Regional Director shall hold a hearing within a period of thirty days as required and direct the Company to file an affidavit to record the consensus reached at the hearing. The Regional Director shall pass an order either approving or rejecting the application along with the reasons within thirty days from the date of hearing.

In case where no consensus is received, the Regional Director may approve the conversion, if he is satisfied having regard to all the circumstances of the case, that the conversion would not be against the interests of the Company or is not being made with a view to contravene or to avoid complying with the provisions of the Act, with reasons to be recorded in writing. However, the conversion shall not be allowed if any inquiry, inspection or investigation has been initiated against the company or any prosecution is pending against the company under the Act.

Tags : COMPANIES   INCORPORATION   RULES   AMENDMENT  

Share :        

Disclaimer | Copyright 2025 - All Rights Reserved