Amendments in the Companies Act, 2013

1. The Limited Liability Partnership (Amendment) Rules, 2024.

MCA vide Notification G.S.R 475(E) dated August 5, 2024, amended the Limited Liability Partnership Rules, 2009, under the Limited Liability Partnership Act, 2008. The Limited Liability Partnership (Amendment) Rules, 2024, effective from August 27, 2024, incorporate several changes, particularly to Rule 37 (“Striking OFF name of the defunct LLP”).

Centre for Processing Accelerated Corporate Exit (C-PACE) was established vide MCA Notification dated March 17, 2023, for faster closure of Companies & LLP.

The amendments include the introduction of the C-PACE alongside the Registrar in various sub-rules, specifically in clauses and provisions related to the accelerated Exit process of LLPs.

The explanation added to sub-rule (1) clarifies the definition and establishment of this Centre. These changes aim to streamline and expedite the corporate exit procedures for LLPs.

The link for the aforesaid Circular is as follows:
https://www.mca.gov.in/bin/dms/getdocument?mds=mvMzerxrXhRIKJfJXltgrg%253D%253D&type=open

2. The Companies (Adjudication of Penalties) Amendment Rules, 2024.

MCA vide Notification G.S.R. 476(E) dated August 5, 2024, introduced the Companies (Adjudication of Penalties) Amendment Rules, 2024 (the Principle Rule) which will come into effect on September 16, 2024. A new Rule 3A is inserted in the Principle Rule. According to this Rule:

  1. All the proceedings of the Adjudicating Officer and Regional Director under the aforesaid Rule shall be in electronic mode through the e-adjudication platform developed by the Central Government for this purpose.
  2. If the email address of a person who needs to receive a notice or summons is unavailable, the Adjudicating Officer must send the notice by post to the last known address or the address on record. Additionally, the officer must keep a copy of the notice in the electronic records on the e-adjudication platform. If no address of the person concerned is available, the notice shall be placed on the e-adjudication platform.
  3. The Annexure to the said rules, Form ADJ which relates to the “Memorandum of Appeal” has been substituted.

The link for the aforesaid Notification is as follows:
https://www.mca.gov.in/bin/dms/getdocument?mds=ksyWu6kmYbS46oyUYmt6cw%253D%253D&type=open

3. The Companies (Indian Accounting Standards) Amendment Rules, 2024.

MCA vide Notification G.S.R. 492 (E). dated August 12, 2024, in consultation with the National Financial Reporting Authority made the rules to amend the Companies (Indian Accounting Standards) Amendment Rules, 2015, which has become effective from the date of this Notification. These rules are called as the Companies (Indian Accounting Standards) Amendment Rules, 2024.  

These amendments relate to Insurance Contracts and Ind AS 117 supersedes Ind AS 104 .

The link for the aforesaid Notification is as follows:
https://www.mca.gov.in/bin/dms/getdocument?mds=4iwngdxt9oFj%252Bpp05r1EZA%253D%253D&type=open 

4. The Companies (Registration of Foreign Companies) Rules, 2014.

MCA vide G.S.R. 491(E). dated August 12, 2024, notified the Companies (Registration of Foreign Companies) Amendment Rules, 2024 and thereby amended the Companies (Registration of Foreign Companies) Rules, 2014 (the Principle Rule). These new Rules will be effective from September 09, 2024.

  1. Rule 3(3) of the Principle Rule, is regarding Furnishing the particulars relating to Directors and Secretary by Foreign Companiesto the Registrar within 30 days of its establishment. Now with this amendment, the Foreign Company is required to give these particulars to the Registrar, Central Registration Centre.
  2. Rule 8(1) of the Principle Rule, is regarding the Office Where Documents to be Delivered and Fee for Registration of Documentswhich reads that any document that any foreign company is required to deliver to the Registrar shall be delivered to the Registrar having jurisdiction over New Delhi. In this Rule 8 a new proviso is inserted which provides that “Provided that the documents for registration by a foreign company referred to in Rule 3 (3) shall be delivered in Form FC-1 to the Registrar, Central Registration Centre.”

The link for the aforesaid Notification is as follows:
https://www.mca.gov.in/bin/dms/getdocument?mds=nKOST6cNFJSgJGLOIBu6Yg%253D%253D&type=open

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