MINISTRY OF CORPORATE AFFAIRS vide NOTIFICATION dated 5th June, 2020 amended Companies (Share Capital and Debentures Amendment Rules, 2020.
Short title and commencement-
(1) These rules may be called the
Companies (Share Capital and Debentures Amendment Rules, 2020.
(2) They shall come into force on the date of their publication in the official Gazette.
Ananlysis of such Amendment:
2. In the Companies (Share Capital and Debentures) Rules, 2014 (herein after
referred to as the said rules), in rule 8, in sub-rule (4), in the second proviso,-
(i) for the letters, figures, brackets and words "GSR 180(E), dated 17th February, 2016 issued by the Department of Industrial Policy and
Promotion" , the letters, figures, brackets, and words "G.S.R. 127(E), dated
the 19th February, 2019 issued by the Department for Promotion of Industry
and Internal Trade" shall be substituted;
(ii) for the words "five years" the words, "ten years" shall be substituted.
3. In the said rules, in rule 18, in sub-rule (7), in clause (b), for sub-clause (v),
following sub-clause shall be substituted, namely: -
"(v) In case a company is covered in item (A) of sub-clause (iii) of clause (b) or
item (B) of sub-clause (iv) of clause (b), it shall on or before the 30th day of
April in each year, in respect of debentures issued by such a company, invest
or deposit, as the case may be, a sum which shall not be less than fifteen
percent., of the amount of its debentures maturing during the year, ending on
the 3 I st day of March of the next year in any one or more methods of
investments or deposits as provided in sub-clause (vi):
Provided that the amount remaining invested or deposited, as the case may
be, shall not any time fall below fifteen percent. of the amount of the
debentures maturing during the year ending on 31st day of March of that
year" ."
DISCLAIMER: THE ARTICLE IS BASED ON THE
RELEVANT PROVISIONS AND AS PER THE INFORMATION EXISTING AT THE TIME OF THE
PREPARATION. IN NO EVENT I SHALL BE LIABLE FOR ANY DIRECT AND INDIRECT RESULT
FROM THIS ARTICLE. THIS IS ONLY A KNOWLEDGE SHARING INITIATIVE.
THE
AUTHOR – CS DEEPAK SETH (ASSOCIATE PARTNER HELPINGHANDS PROFESSIONALS
LLP) AND CAN BE REACHED AT CONTACTHHPRO@GMAIL.COM OR 9910248911.
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