After Rajya Sabha, Lok Sabha committee to study MCA's subordinate rules

Lok Sabha panel meets MCA officials to review rules and regulations, following Rajya Sabha scrutiny of commitment provisions under the Competition Act

The Lok Sabha Committee on subordinate legislation met with Ministry of Corporate Affairs officials on Monday to discuss the progress of framing rules and regulations under the various Acts implemented by the Ministry, according to Parliament’s website.

 

In the Rajya Sabha, the same committee, chaired by MP Milind Deora, is examining rules and regulations under the Competition Act, which is also the ministry’s domain.

 

The Lok Sabha committee, chaired by MP Balashowry Vallabhaneni, met ministry officials to discuss the rules and regulations they have framed.

 

On March 10, the Rajya Sabha committee met with ministry officials and senior Competition Commission of India (CCI) officers. The committee is focusing on commitment regulations, which allow companies to avoid abuse-of-dominance investigations by pledging to change their conduct.

 

 

The committee examines whether the government’s power to make rules, regulations, bye-laws, schemes, or other statutory instruments is being exercised properly and in accordance with the general objects of the Constitution or the relevant Act. In 2024, it selected the commitment regulations for a detailed examination.

 

A company can offer a commitment scheme within 45 days after the CCI passes a prima facie order for investigation. It can also be submitted before the party receives the CCI Director General’s report.

 

Among the corporate affairs ministry’s and its affiliates’ various rules and regulations, the Lok Sabha committee is yet to select the area of its examination.

 

The ministry drafts rules for items of legislation such as the Companies Act, Insolvency and Bankruptcy Code, the Competition Act, as well as the various Acts governing the professional services, such as chartered accountants, company secretaries, and cost accountants.

 

The National Financial Reporting Authority and the Insolvency and Bankruptcy Board of India are among organisations that come under the ministry’s ambit.