{"id":180334,"date":"2018-01-08T13:57:45","date_gmt":"2018-01-08T08:27:45","guid":{"rendered":"http:\/\/www.scconline.com\/blog\/?p=180334"},"modified":"2018-01-08T13:57:45","modified_gmt":"2018-01-08T08:27:45","slug":"companies-amendment-act-2017-notified","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2018\/01\/08\/companies-amendment-act-2017-notified\/","title":{"rendered":"The Companies (Amendment) Act, 2017 notified"},"content":{"rendered":"
The Central Government notified the Companies (Amendment) Act, 2017 (Amendment Act) on 3rd<\/sup>\u00a0January, 2018. The provisions of this Amendment Act shall come into force on the date or dates as the Central Government may appoint by notification(s) in the Official Gazette. A few provisions in the Amendment Act have important bearing on the working of the Insolvency and Bankruptcy Code, 2016 (Code).<\/div>\n

Section 53 of the Companies Act, 2013 prohibited issuance of shares at a discount. The Amendment Act now allows\u00a0companies to issue shares at a discount to its creditors when its debt is converted into shares in pursuance of any statutory resolution plan such as resolution plan under the Code or debt restructuring scheme.<\/p>\n

Section 197 of the Companies Act, 2013 required approval of the company in a general meeting for payment of managerial remuneration in excess of 11 percent of the net profits. The Amendment Act now requires that where a company has defaulted in payment of dues to any bank or public financial institution or non-convertible debenture holders or any other secured creditor, the prior approval of the bank or public financial institution concerned or the non-convertible debenture holders or other secured creditor, as the case may be, for such payment of managerial remuneration shall be obtained by the company before obtaining the approval in the general meeting.<\/p>\n

Section 247 of the Companies Act, 2013 prohibited a registered valuer from undertaking valuation of any assets in which he has a direct or indirect interest or becomes so interested at any time during or after the valuation of assets. The Amendment Act now prohibits a registered valuer from undertaking valuation of any asset in which he has direct or indirect interest or becomes so interested at any time during three years prior to his appointment as valuer or three years after valuation of assets was conducted by him.<\/p>\n

The Companies (Amendment) Act, 2017 is available\u00a0www.ibbi.gov.in<\/a>\u00a0and\u00a0www.mca.gov.in<\/a>.<\/p>\n

Ministry of Corporate Affairs<\/p>\n","protected":false},"excerpt":{"rendered":"

The Central Government notified the Companies (Amendment) Act, 2017 (Amendment Act) on 3rd\u00a0January, 2018. The provisions of this Amendment Act shall come <\/p>\n","protected":false},"author":91,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[14,4],"tags":[],"class_list":["post-180334","post","type-post","status-publish","format-standard","hentry","category-foreign","category-legislationupdates"],"yoast_head":"\nThe Companies (Amendment) Act, 2017 notified | SCC Times<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.scconline.com\/blog\/post\/2018\/01\/08\/companies-amendment-act-2017-notified\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Companies (Amendment) Act, 2017 notified\" \/>\n<meta property=\"og:description\" content=\"The Central Government notified the Companies (Amendment) Act, 2017 (Amendment Act) on 3rd\u00a0January, 2018. 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