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Contents Chapter No. Chapter Name Sections Page No. PART I : CORPORATE LAWS (70 MARKS) Section A : Company Law 1 149-193 1.3 2 196-205 2.1 3 206-229 3.1 4 230-240 4.1 5 241-245 5.1 6 247 6.1 7 248-252 7.1 8 271-358 8.1 9 379-393 9.1 10 394-395 10.1 11 405-406 11.1 I-5
Chapter No. Chapter Name Sections Page No. 12 420-434 12.1 13 435-455 13.1 14 14.1 Section B : Securities Laws 15 15.3 16 16.1 PART II : ECONOMIC LAWS (30 MARKS) 17 17.3 18 18.1 19 19.1 20 20.1 21 21.1 I-6 CONTENTS
Holds office Upto 5 consecutive years on the BOD of a Company But shall be eligible for re appointmentOnpassingS.R. by the company&Disclosed in Board report. No I.D. shall hold office for more than 2 consecutive terms Can appoint as ID after expiry of 3 years of ceasing to become an #I.D.An DuringI.D.the period of 3 years Not eligible for appointment or Be associated in any other capacity either directly or indirectly.
Declaration by Independent Director (ID) Every I.D. shall at the 1st Board Meeting
I.D. = Independent Director# In case of co. has no profit or Independent profit, an I.D. may receive remuneration exclusive of any fees payable u/s 197(5) in accordance with the provision of Sch. V.
# Any tenure of an I.D. on the date of commencement of this Act shall not be counted as a term under those sub section.
In which he participates as a directors 1&st Board Meeting in Every F.Y. or Any change in status of I.D.
CH. 1 : APPOINTMENT, QUALIFICATION OF DIRECTORS & MEETING OF BOARD 1.5
Notwithstanding anything contained in this act An I.D. A non executive director not being promoter or KMP Shall be liable only for those offences, which had occurred with his knowledge.
SECTION 149 - COMPANY TO HAVE BOARD OF DIRECTORS (3RD CHART)Sec 149 (3rd Chart)
Gives a declaration that he meets the crit eria of independence as provided in subsection (6).
#Co mpany & I.D. shall abide by the provisions specified in schedule IV #The Provision of sec. 152(6) & (7) in r espect of retirement of director by rotation shall not be applicable to appointment of I.D. Independent Director Not eligible To any stock option MayEligiblereceive remuneration reimbursement of expenses, commission As may be approved by member Sec. Remuneration2(78)* means any money or its equivalent often to any person for services rendered by him + perquisites(Asdefined under Income tax Act, 1961)
A. Co. - Associate Company P. FY Previous Financial year C. Y. Current year (a) In the Opinion of the board. Person of Integrity, Possesses relevant expertise & experience. (iv) Has any other Pecuniary transaction or relationship with the Co./H.Co/S.Co amounting to 2% or more of its gross turnover or total income singly or combination with above clauses (i), (ii) and (iii) (iii) Has given a guarantee or provided any security in wconnectioniththeIndebtedness of any 3rd Person to the Company its H.Co/S.Co/A.Co. or their promoters or directors of such holding company of amount Rs. 50 lacs During 2 immediately P.F.Y. OR C.Y. With the Company, Holding Company, Subsidiary Company, Associate Company or their Promoter & director. During the 2 Immediately P.F.Y OR During Current F.Y.IFSC Companies – Intro Meaning of IFSC for “International Financial Services Centres” an IFSC caters to customers outside the jurisdiction of the domestic economy. Such centres deal with flows of finance, financial products and services across borders.
At any time during the Imm. Preceding 2 FY OR CY
SECTION 149(6) - CONCEPT OF INDEPENDENT DIRECTOR (1ST CHART) 07 Concept of Independent Director Sec 149(6) (1st chart) –
In excess of amount Rs 50 lacs at anytime during the immediately 2 preceding Financial year or Current year.
(i ) Holding security or interest in the Co./H.co/S.co/A.co. not Exceeding (b) Who is not a Promoter of the AssociateSubsidiaryHoldingCompanyCompany.Company.Company. Who is not relatedto the Promoter or directors In the AssociateSubsidiaryHoldingCompany.CompanyCompanyCompany. Other than asRemunerationsuchdirector or Having transaction not exceeding 10% of his total i ncome. Rs. 50 lacs face value 2% of the paid up capital of the Company, its Hol ding/Subsidiary/Associate Co. Or (ii ) is indebted to the Company/H. Co./S. Co. /Associate company or their promoters or directors.
An independent director, in relation to a company, means a director other than a MD or WTD or a nominee Director. ( c) Who has or had no pecuniary relationship. (d) None of his relatives.
1.6 PART I : CORPORATE LAWS
H. Co Holding Company S. Co. - Subsidiary Company
DIN (Director Identification Number)
CORPORATE LAWS
An ID may be selected f rom a database who are eligible willing to act as ID maintained by anybody, institute or association notified by C.G. Section 152(2) Appointment of ID Approved by company in GM +explanatory statement attached with notice of GM (sec. 150 shall not apply to sec. 8 Co.)
& Professional Qualification
For allotment of DIN to the C.G.
Sec. 153:- A pplication for A llotment of DIN
Every Individual wants to appoint as a director of a Shallcompanymakean application – DIR – 3 (in case of existing company + Fees Rs. 500)
# In case, the name of a person does not have a last name, then his father or grandfather surname shall be mentioned in the last name along with the declaration in form No. DIR 3A.
# Provided that CG may prescribe any identification number which shall be treated as DIN for the purposes of the Act & in case of any individual holds or acquires such identification numbers, the requirements of the section shall not apply or apply in such manner as may be prescribed.
The name and surname in full The father’s name The date of birth
Not apply over Sec. 8 & Govt. Co. (where appointment done by CG/SG or any combination thereof)
Provided that, responsibility of exercising due diligence before selecting a person from the databank, shall lie with the company.
# In case of new company, Proposed directors not having DIN, the particulars of the Maximum 3 directors shall be mentioned in form INC 32(spice) & DIN may be allotted to these 3 directors.
1.8 PART I :
PIN Code Phone number Email Educationalid
FullTheTheGendernationalityoccupationaddresswith
Sec. 150: Manner of selection of I.D. & maintenance of data bank of I.D.
Shall contain the following details:
The materials in each chapter are provided in a systematic order so that even an ordinary student can acquire thorough, latest & up to date knowledge of the subject, in a short period of time, without any exertion on the students' part.
Description Corporate & Economic Laws (LAW) | QUICK REVISION CHARTS AUTHOR : Ashish Gupta PUBLISHER : TAXMANN DATE OF PUBLICATION : June 2022 EDITION : 2nd Edition ISBN NO : 9789356222502 NO. OF PAGES : 424 BINDING TYPE : PAPERBACKORDER NOW
This book is prepared exclusively for the Final Level of Chartered Accountancy Examination requirement. It covers the entire revised syllabus as per ICAI under the New Scheme of Education and Training.
The Present Publication is the 2nd Edition & updated till 30th April 2022 for CA-Final | New Syllabus | Nov. 2022/May 2023 Exams. This book is authored by CA CS Ashish Gupta with the following noteworthy features: [Provisions of Corporate & Economic Laws Made Easy] by providing simplified text in a tabular/chart format, for easier retention [Headings, Sub-Headings & Important Points] highlighted in Bold [Table of Sections along with corresponding Rules] to help the students find the Sections covered in the chapter & enable them to find the corresponding Rules with ease [Simple & Concise Language] for easy understanding [User Friendly] examination-oriented style facilitating easy comprehension of each topic [Teach Yourself Style] strictly following a student-friendly approach, essentially meant to serve as a tutor at home Coverage of this book includes: [Company Law] from Sections 149 – 470 [Economic Laws] containing charts of FEMA, FCRA, and IBC along with other Acts