LS passes bill to amend the Companies Act 2013

The Companies (Amendment) Bill 2019 was passed by a voice vote after a reply by Sitharaman. The bill seeks to replace an ordinance promulgated earlier this year.

"Nearly four lakh inactive companies have been de-registered by us," she said, adding they were totally inactive for several years, probably for more than five years.

Earlier while moving the bill, Sitharaman said it was a very important bill for ease of doing business.

The bill seeks to ensure better compliance levels and to re-categorise some of the compoundable offences as civil defaults.

The minister added that there is no rule which prevents companies from using Corporate Social Responsibility (CSR) funds locally.

 

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