Tuesday, February 2, 2016

Companies Law Committee Report

In June 2015, the Government constituted the Companies Law Committee (CLC) to make recommendations arising from the implementation of the Companies Act, 2013. Yesterday, the CLC issued its report containing detailed recommendations for reforms relating to the Companies Act as well as several rules issued under the Act. A quick review of the report indicates that it has extensively addressed several issues across the legislation and has made several suggestions for reform on various topics. The overall theme is to streamline the provisions and also to make the legislation more facilitative to doing business. There was concern previously that the Companies Act, 2013 had imposed too many restrictions that made it impossible to carry out legitimate business activity. We hope to discuss some of the more specific recommendations of the CLC on this Blog in due course.


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