New company law has potential to unleash huge economic, social value: Sachin Pilot

Highlighting the important features of the Companies Act, 2013, Corporate Affairs Minister Sachin Pilot has said it is a 21st century legislation that has the potential to unleash huge economic and social values.

Addressing a FICCI - ICSI (Institute of Company Secretaries of India) Joint Programme on the Companies Act, 2013: 'A New Law for a New Era' here yesterday, Pilot said the Act is the result of intensive consultative process by his Ministry with industry, professionals, corporates and other stakeholders and added the new law focuses on the global best practices and meeting the legitimate expectations of all stakeholders.

He further said the new legislation is investment- friendly and would allow freedom to small investors like craftsman and villagers to get the credit facility and other facilities by forming a legal entity i.e. one person company.

On the draft rules which have been placed on the website of the ministry, Pilot invited any number of suggestions so that the best rules can be had in place and assured that every suggestion would be given due consideration.

Pilot also emphasized that India has a huge untapped investment potential and foreign investors need to get the signal that India is a safe and profitable investment destination.

He said he would take up the case for incentivizing CSR projects by corporates through tax exemption and reliefs with the finance ministry.