Whether SFIO needs to complete the investigation within the time specified by the Central Govt.?

The Apex Court held that the period that the Central Govt. may prescribe to complete investigation u/s.212(3) is directory and no fixed period is provided for completion of investigation by SFIO; transfer of investigation by other agencies to SFIO u/s.212(2) of the Companies Act 2013 is irrevocable; when accused is directed to remand by a … Continue reading Whether SFIO needs to complete the investigation within the time specified by the Central Govt.?

An arbitration clause that is contained in a contract would not “exist” as a matter of law until the contract is duly stamped

The Hon’ble Supreme Court on 10 April 2019 in Garware Wall Ropes Ltd vs Coastal Marine Constructions & Engineering Ltd. (Civil Appeal No. 6361/2019) ruled that when the Supreme Court or the High Court when considers an application under Section 11(4) to 11(6) under Arbitration and Conciliation Act, 1996 (Act or Arbitration Act) and comes … Continue reading An arbitration clause that is contained in a contract would not “exist” as a matter of law until the contract is duly stamped

Transition from High Court to NCLT, compromise, arrangement, winding-up and other matters

The Insolvency and Bankruptcy Code, 2016 (31 of 2016)   Key words of Preamble to the Insolvency and Bankruptcy Code, 2016 (IBC):- reorganization and insolvency resolution of- corporate person, partnership firms and individuals – in a time bound manner for maximization of value of assets to promote entrepreneurship availability of credit balance the interest of … Continue reading Transition from High Court to NCLT, compromise, arrangement, winding-up and other matters

Real Estate (Regulation and Development) Act, 2016

Real Estate (Regulation and Development) Act, 2016 came into force from May 1, 2016. Ministry of Housing & Urban Poverty Alleviation, has notified 69 of the total 92 sections of the Act. The remaining 22 Sections are yet to be notified relates to the functions and duties of promoters, rights and duties of allottees, prior registration of real … Continue reading Real Estate (Regulation and Development) Act, 2016

What is the degree of proof required to hold brokers/sub-brokers liable for fraudulent/manipulative practice?

The Supreme Court of India, in its judgement in case of SEBI v. Kishore R. Ajmera delivered on 23 Feb. 2016, dealt with this question. Facts in brief: A broker with his sub-broker were allegedly involved in creation of artificial volumes in an illiquid scrip of Malvica Engineering Ltd, who matched volumes for their two … Continue reading What is the degree of proof required to hold brokers/sub-brokers liable for fraudulent/manipulative practice?

What can be action by SEBI for not making public announcement, after acquiring shares from capital market?

What can be action by SEBI for not making public announcement, after acquiring shares from capital market? This is the issue many would have in mind, particularly in minds of promoters who are active in capital markets. GMR Holdings Pvt Ltd ('GMR') is promoter of Parrys Sugar Industries Ltd ('Parrys), whose shares are listed on … Continue reading What can be action by SEBI for not making public announcement, after acquiring shares from capital market?

CompAT set aside CCI order as informant not questioned rules of APFCC

Competition Commission of India (CCI) had imposed a penalty of Rs.12.89 lacs on Andhra Pradesh Film Chamber of Commerce (APFCC) for restricting exhibition of film produced by particular producer, for forcing its member to abide by its unfair rules and dictates. Rules 4(ii)(j) and 52(a)(ii) read with Rule 52(b) framed by APFCC were found by … Continue reading CompAT set aside CCI order as informant not questioned rules of APFCC

Supreme Court on creeping acquisition under Takeover Code

The judgement of the Hon'ble Supreme Court in Kosha Investments Ltd (delivered on 18 September 2015 summarised below) is of importance for several reasons, like: Wrong deed can creep up any time (in this case after 3 years by SEBI); and For SEBI takeover regulations, netting off in creeping acquisition is not allowed. The appellant, … Continue reading Supreme Court on creeping acquisition under Takeover Code