The Corporate Affairs Ministry has said the new Companies Act provides an opportunity for self- regulation and greater transparency.The new Act, which replaces the nearly six-decade-old legislation that governs corporates, was passed by the UPA government.
The new Government has proposed as many as 14 amendments to the Companies Act, 2013 after taking into account concerns from stakeholders. The proposed changes, however, could not passed in the just concluded winter session of Parliament. Over 60 per cent of provisions of the new law came into force from April 1 and the remaining ones are expected to be implemented in a phased manner.
In a handbook, which will be released soon, the Ministry of Corporate Affairs (MCA) has said the new law provides the corporate sector an opportunity for self-regulation, while mandating greater transparency and enhanced disclosures for improve compliance.