By way of a Notification dated 22nd January 2016 and in order to encourage incorporation of companies, the MCA had established a Central Registration Centre (CRC) having territorial jurisdiction all over India for discharging or carrying out the function of processing and disposal of applications for reservation of names under the provisions of the Companies Act, … Continue reading Centralised Registration Centre (CRC) for Company Incorporation w.e.f. 28 March 2016
Obtain Digital Signatures
Various documents prescribed under the Companies Act, 2013, are required to be filed with the digital signature of the Managing Director or Director or Manager or Secretary of the Company, therefore, it is compulsory to obtain Digital Signature Certificate from authorized DSC issuing authority.
Obtain Director Identification Number (DIN) [Section 153]
As per 153 of the Companies Act, 2013, every individual intending to be appointed as director of a company shall make an application for allotment of Director Identification Number in form DIR.3 to the Central Government in such form and manner and along with such fees as may be prescribed. Therefore, before submission of e-Form INC.1 for availability of name, all the directors of the proposed company must ensure that they are having DIN and if they are not having DIN, it should be first obtained.
Name Availability for proposed company
As per Section 4(4) read with Rule – 9 of Companies (Incorporation) Rules, 2014, application for reservation/ availability of name shall be in Form no. INC – 1 along with prescribed fee. Company name should be in accordance with name guidelines given in Rule – 8 of Companies (Incorporation) Rules, 2014.
Note: MCA has prescribed certain rules for name availability, so it is advisable to check guidelines for the same before applying for name.
After approval of name ROC will issue a Name availability letter w.r.t. approval for availability of name for a proposed company. Continue reading “Procedure for Incorporation of Private Limited Company”
Provision of Ratification of Auditor: As per Section 139(1) of the Companies Act, 2013, Every company shall, at the first annual general meeting, appoint an individual or a firm as an auditor who shall hold office from the conclusion of that meeting till the conclusion of its sixth annual general meeting and thereafter till the conclusion of every … Continue reading Ratification of Statutory Auditor
Company CIN No. is dedicated to finding primary details of companies registered in India under Ministry of Corporate Affairs, Govt. of India. Company CIN, sometimes referred as Company CIN Number or Company CIN No. is a unique identification number assigned by Registrar of Companies (ROCs) functioning in various states under Ministry of Corporate Affairs (MCA), Govt. of India.
After formation of a company, concerned ROC issues a certificate containing its 21 Digit Corporate Identification Number (CIN No. or CIN Code) along with its approved name. Every company must quote this unique Company CIN No. whenever a correspondence or data forms submitted to MCA, particularly in audits and reports. Continue reading “Corporate Identification Number – An Information Package”
Notice of situation or change of situation or discontinuation of situation,of place where foreign register shall be kept.
eForm MGT-3 is required to be filed pursuant to section 88(4) of the Companies Act, 2013 and rule 7(2) of the of the Companies (Management and Administration) Rules, 2014 which are as under.
Section 88(4): A company may, if so authorised by its articles, keep in any country outside India, in such manner as may be prescribed, a part of the register referred to in sub-section (1), called “foreign register” containing the names and particulars of the members, debenture holders, other security holders or beneficial owners residing outside India.
Rule 7(2): The company shall, within thirty days from the date of the opening of any foreign register, file with the Registrar notice of the situation of the office in Form No. MGT-3 along with the fee where such register is kept; and in the event of any change in the situation of such office or of its discontinuance, shall, within thirty days from the date of such change or discontinuance, as the case may be, file notice in Form No.MGT-3 with the Registrar of such change or discontinuance.
Purpose of the eForm
A company may, if so authorized by its articles, keep in any country outside India a part of the register of members/ of debenture holders/ of any other security holders/ of beneficial owners, resident in that country.
The company shall, within thirty days from the date of the opening of any foreign register, file with the Registrar notice of the situation of such place in Form No.MGT-3 where the register is kept. In the event of any change in the situation of such place or of its discontinuance, the same should be communicated within thirty days from the date of such change or discontinuance, as the case may be, in Form No.MGT-3 with the Registrar. Continue reading “MCA Form MGT – 3”
E-Form PAS-6 is required to be filed pursuant to Section 42 of the Companies Act, 2013 and rule 14(3) of Companies (Prospectus and Allotment of Securities) Rules, 2014
The Companies (Amendment) Bill, 2015 had been passed in Rajya Sabha on 13th May 2015 and was passed in Lok Sabha on 17.12.2014. Bill got assent of the president on 25.05.2015 and got published in official Gazette of India on 26th May, 2015 and now known as THE Companies (Amendment) Act, 2015.
The government has notified amendments to the Companies Act, which makes it easier to do business and provided for severe penalties in case of frauds.
Given Below are the highlights of Companies (Amendment) Bill, 2015
- The Act has removed threshold limit for minimum paid up capital required for the formation of private or public limited company. – [Section 2(68)/2(71) of the Companies Act, 2013 (Act)].
For setting-up a private company, New Act has done away with the norms of Rs 1 lakh minimum capital requirement and Rs 5 lakh in case of a public sector unit and various other amendments.
- The concept of company seal has become optional.
In case a company does not have a common seal, the authorization shall be made by two directors or by a director and the company Secretary, wherever the company has appointed a company Secretary. – [sections 9, 12, 22, 46 and 223 of the Companies Act, 2013]
- Doing away with the requirement for filing a declaration by a company before commencement of business or exercising its borrowing powers. – [Omission of Section 11 of the Companies Act, 2013 and consequential change in section 248 of the Companies Act, 2013].
- With regard to acceptance of deposits by the companies, in contravention with regulations, the new law said that if a company fails to repay the deposit or any interest due thereon within the time specified, it will be
- Punishable with fine which shall not be less than Rs 1 crore but which may extend to Rs 10 crores in addition to payment of deposits or part thereof; and
- Every officer of the company who is in default shall be punishable with imprisonment which may extend to seven years or with fine which shall not be less than Rs 25 lakh but which may extend to Rs 2 crore, or with both. – [New Section 76A of the Companies Act, 2013].
- Prohibiting public inspection of Board resolutions filed in the Registry. – [Section 117(3) of the Companies Act, 2013].
- In case of dividend, the amended Act said that no company will declare dividend unless “carried over previous losses and depreciation not provided in previous year or years are set off against profit of the company for the current year.” – [Section 123(1) of the Companies Act, 2013]. Continue reading “THE Companies (Amendment) Act, 2015”