Proviso to Section 58(2) of the Companies Act, 2013 recognizes that “any contract or arrangement between two or more persons in respect to transfer of securities shall be enforceable as a contract”. Interestingly, this applies solely to public companies when the Articles of Association (AOA) doesn’t address such matters. This raises the question: Why isn’t… Continue reading “Shareholders Agreement (SHA): Public vs. Private Companies’ Dilemma & Ambiguity in Enforcement” 📜🔐
“India’s Bankruptcy Law Overhaul: Revolutionizing Aviation Industry and Leasing Rights”
In May 2023, Go First went bankrupt, but leasing companies couldn’t take back the planes due to a legal restriction under the Insolvency and Bankruptcy Code, 2016. SMBC Aviation Capital, the world’s second-largest aircraft lessor, voiced concerns about the impact on the aviation industry’s confidence, especially as India was acquiring many new planes. In October… Continue reading “India’s Bankruptcy Law Overhaul: Revolutionizing Aviation Industry and Leasing Rights”
Board Constitution
Constitution of Board of a Company can be considered as a foundation for the governance practices of a Company and this being one of the reason that government has laid down regulations with respect to the constitution of Board. Thus today i have tried to cover the provisions of Regulation 17 of the SEBI Listing… Continue reading Board Constitution
NCLT Matters
I Had come across one question that whether any pending investigation can stand as a legal impediment in sanctioning a proposed scheme of compromise or arrangements under Section 230 and / or Section 232 of the Companies Act, 2013? On exploring the answer to the said question, I came across an order dated 27th May,… Continue reading NCLT Matters
RPT Approval Process
There are three types of authorities in a Company through which the Related Party Transactions (RPTs) are required to be approved in India i.e. Audit Committee, Board of Directors and Shareholders. For identifying whether a particular transaction shall be required to be approved either by one or more of the above specified authorities, the professionals… Continue reading RPT Approval Process