ALAYA LEGAL BULLETIN

ALAYA LEGAL BULLETIN

  1. LITIGATION & ARBITRATION

(i) The Delhi High Court has empowered the CA Institute’s Disciplinary Committee (DC) to take action against an entire CA firm even when no single individual can be held responsible for the allegations in a complaint.?

It was held that the DC is free to proceed against the firm as a whole or its individual members, as deemed appropriate, in response to allegations of professional misconduct.

Court Name: Delhi High Court??

Case Name:? Harinderjit Singh v. Disciplinary Committee Bench III, The Institute Of Chartered Accountants

Case No.:? W.P.(C) 11944/2021

Date of Decision: July 03, 2024?

(ii) The Supreme Court held that if an arbitral award is challenged beyond the three-month limitation, the benefit of section 4 of the Limitation Act will not be available. The Court held that the 30-day extension period mentioned in the proviso to Section 34(3) of the Arbitration and Conciliation Act 1996 cannot be included in the "prescribed period" in Section 4 of the Limitation Act 1963.?

Court Name: Supreme Court??

Case Name: ? The State of West Bengal & Ors. v. Rajpath Contractors and Engineers Ltd.

Case No.:? Civil Appeal No. 7426 Of 2023

Date of Decision: July 08, 2024?

(iii) In order to streamline arbitration process to resolve commercial dispute having government or PSE as one party, Finance Ministry has laid down the guideline that arbitration (if included in contracts) may be restricted to disputes with a value less than Rs. 10 crore. This figure is with reference to the value of the dispute (not the value of the contract, which may be much higher).

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It has also said that arbitration clause should not be automatically included in large contracts. Keeping in mind various practical difficulties, the Ministry has come out with detailed guidelines for contracts of domestic procurement by the Government and by its entities and agencies (including Central Public Sector Enterprises, Public Sector Banks etc. and Government companies).?

Read More: Guidelines_for_Arbitration_and_Mediation_in_Contracts_of_Domestic_Public_Procurement.pdf (doe.gov.in)

  1. CORPORATE & COMMERCIAL?

(i) The National Company Law Appellate Tribunal (NCLAT) has held that the mandatory free-of-cost copy of a final order sent to litigating parties by the National Company Law Tribunals (NCLTs) cannot be treated as ‘certified’ copies as defined under the NCLAT Rules. Thus, such free copies cannot be used as the basis for filing an appeal before the appellate body.?

Tribunal Name: National Company Law Appellate Tribunal??

Case Name:? State Bank of India v. India Power Corporation Ltd.?

Case No.: IA No. 158 / 2024 in Company Appeal (AT) (CH) (INS) No. 53 of 2024

Date of Decision: July 09, 2024?

(ii) The Ministry of Corporate Affairs has issued a circular launching e-Form MGT-6 (Form of return to be filed with the Registrar under section 89) and BEN-2 (Return to the Registrar in respect of declaration under section 90) in MCA-21 Version 3.0 on 15.07.2024. The circular provides that the said e-forms shall not be available in MCA21 Version-2 from 04.07.2024 to 14.07.2024.?

Read More: getdocument (mca.gov.in)

  1. ENERGY & SUSTAINABILITY?

(i) The Central Electricity Regulatory Commission (‘CERC’) granted transmission License for Renewable Energy Integration in response to an application for a transmission license by Koppal II Gadag II Transmission Limited, now known as POWERGRID Koppal Gadag Transmission Limited. The application was in relation to Inter-State Transmission System for the integration of Renewable Energy Zone (Phase-II) in Koppal-II (Phase-A & B) and Gadag-II (Phase-A) in Karnataka on a Build, Own, Operate, and Transfer (BOOT) basis.?

CERC granted the transmission licence to the Petitioner Company so that the construction work of the transmission line was not delayed.??

Tribunal: Central Electricity Regulatory Commission??

Case Name:? Koppal II Gadag II Transmission Limited v. Central Transmission Utility of India Limited & Ors.??????????????????????????????????????

Case No.:? Petition No. 52/TL/2024?

Date of Decision: July 02, 2024?

(ii) The CERC has notified Monthly Escalation Rates applicable for May 2024 for the purpose of payment for Procurement of Power by Distribution Licensees as per the Power Purchase Agreement entered into under Guidelines for Determination of Tariff by Bidding Process for Procurement of Power by Distribution Licensees.

Read More: 255087.pdf (egazette.gov.in)?

(iii) The Central Electricity Regulatory Commission (CERC) has introduced the Second Amendment to the Connectivity and General Network Access to the inter-State Transmission System Regulations, 2024, effective upon notification by the Central Commission.?

Key changes include defining "Renewable Energy Implementing Agency" (REIA) for entities designated to procure renewable energy. Timelines for connectivity and financial closure have been adjusted. For in-principle connectivity, land use documents must be submitted within 18 months, and financial closure achieved 6 months before the operation date.?

Read More: 255077.pdf (egazette.gov.in)

(iv) The Ministry of New and Renewable Energy had released final Guidelines for Development of Onshore Wind Power Projects on 22 October 2016. It has now released a notification outlining an amendment to para V of the guidelines relating to Micrositing.?

The notification specifies the criteria for micrositing. The criteria shall be based on an optimised output rather than a strict mandated minimum distance between wind turbines.?

Read More: 20240704480897552.pdf (s3waas.gov.in)

(v) With a rise in the number of fire incidents in summer months in New Delhi, the Delhi Electricity Regulatory Commission (DERC) has proposed that residential buildings over 15 metres high will have to obtain a fire clearance certificate from the concerned department for getting an electricity connection.?

The DERC has also mooted authorising discoms to disconnect the power supply of buildings to be demolished by the civic agencies.

Read More: Draft Delhi Electricity Regulatory Commission (Supply Code and Performance Standards) (Sixth Amendment) Regulations 2024 | DELHI ELECTRICITY REGULATORY COMMISSION (derc.gov.in)

(vi) The President of India has approved the implementation of "Strategic Interventions for Green Hydrogen Transition (SIGHT) Programme Component II: Incentive Scheme for Green Hydrogen Production (under Mode 1) - Tranche-II" under the National Green Hydrogen Mission for FY 2025-26 to FY 2029-30, with a total allocation of Rs. 13,050 crore.?

The scheme aims to maximize Green Hydrogen production in India, enhance its cost-competitiveness against fossil-based alternatives, and promote large-scale utilization. Solar Energy Corporation of India (SECI) will oversee the implementation as per detailed guidelines provided in the scheme document, funded from the Hydrogen Mission budget.

Read More: 202407041145009350.pdf (s3waas.gov.in)

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