Our Top 5 Blogs: January 2024 to March 2024
1. Key issues under Section 186 for a corporate lawyer
This article discusses two key issues under Section 186 of the Indian Companies Act, 2013 related to inter-corporate loans and investments. The first issue explores how to correctly calculate the thresholds for such loans and investments under Section 186, including how to value existing investments and account for investments written off. The second issue examines the practical difficulties posed by the minimum interest rate requirement of Section 186(7) for loans provided to foreign subsidiaries given differing local laws. Read our detailed analysis of the section.
2. ?Stamp Duty Exemption Under IT/ ITES Policy, 2023
The notification provides stamp duty exemption to eligible new and expansion/diversification IT/ITES units in Maharashtra under the 2023 IT policy. Key highlights of the exemption include 100% exemption for infrastructure projects and zone 2 areas. 75% exemption is available for zone 1 areas. Eligible units must obtain letter of intent and no objection certificate from authorities. The process for applying and conditions for maintaining eligibility are provided. This blog discusses the stamp duty exemption under the IT/ITES policy. Read it here.
?3. Recommendations on Changes to SEBI ICDR Regulations for Ease of Doing Business – Missing the Point
The article discusses recommendations by an expert committee to the SEBI regarding amendments to the SEBI ICDR regulations. It analyzes some of the key recommendations such as permitting non-individual shareholders to contribute towards minimum promoter's contribution without being categorized as a promoter. It raises questions about these recommendations, like whether they address the concern of ensuring promoters have adequate skin in the game post-listing. It also discusses implications of classifying individuals with low shareholding as promoters. Click here to read it.
4. The Telecommunications Act, 2023?
The Telecommunications Act, 2023 has received presidential assent and has been notified for information. It will replace existing legislation governing telecommunications in India. The Act, as assented, shows significant improvement over a draft 2022 version, and addresses several of our concerns. It aims to simplify a complex framework that dates back to 1885. The new Act, with its changes and retentions from the Bill, is a clear, simplified and business friendly piece of legislation that can prove to be the key to unlocking incredible growth for the industry. Read our analysis of the new act in our article here.
?5. ?Extension of Mandate of Arbitral Tribunal under Section 29A(4) of the Arbitration and Conciliation Act, 1996: A Primer for Practitioners
The Amending Act of 2015 introduced Section 29A of the Arbitration and Conciliation Act, 1996, which prescribes a statutory period of 12 months for completion of arbitration proceedings. The Amending Act of 2019 further modified this time limit, requiring proceedings to be completed within 12 months from completion of pleadings. However, there is no clarity on whether applications for extension can be made after the expiry of the specified period. This blog attempts to review judgments where such applications were made after the expiry of timelines specified under the Act. Read it here.
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