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Showing posts from December, 2016

Process for Compromises, Arrangements and Amalgamations

Process for Compromises, Arrangements and Amalgamations Two and half year passed, when MCA put into operation the Companies Act, 2013. But provisions concerning to Compromises, Arrangements and Amalgamations (hereafter read as “CAA”) were not in force due to non establishment of NCLT and NCLAT, non-avaibility of rules etc.  CAA was going as per provisions of Companies Act, 1956 till 14.12.2016. On 7 th November, 2016 Central Government issued a notification for enforcement of section 230-233, 235-240, 270-288 etc w.e.f. 15 th December, 2016. But still rules were not available till date for CAA. MCA vide notification dated 14 th Dec, 2016 has issued rules i.e. The Companies (Compromises, Arrangements and Amalgamations) Rules, 2016. These rules will be effective from 15 th December, 2016. Consequently, w.e.f. 15.12.2016 all the matters relating to Compromises, Arrangements, and Amalgamations (hereafter read as “CAA”) will be dealt as per provisions of Companies Act,