Happy Christmas

Christmas is a spirit of giving rather than a thought of getting. Zappy Consults wishes you and your family a very happy Christmas and prosperous New Year. In our December Edition, we will be seeing about the Foreign Currency Convertible Bonds (FCCBs), Foreign Currency Exchangeable Bonds (FCEBs) and the recent amendments made to it by the RBI. Also as usual Legal terms and News Bites related to notifications by MCA, SEBI, RBI and IT Department in the previous month would follow the article.

 Saranya Deivasigamani,
CEO

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FCCB Vs FCEB

FCCB

A Foreign Currency Convertible Bond is nothing but a convertible bond issued in a currency other than the home currency (i.e. any currency other than Indian Rupees). As like any convertible instrument, the term convertible bond includes two types of instruments – debt and equity. While purchasing the bond it will be a debt instrument by making a regular coupon and principal payments in the issued currency. On maturity of the bond, the bond holder will have an option to convert it into equity shares / stock. The Foreign Exchange Management Act (FEMA), 1999 defines “’Foreign Currency Convertible Bond’ (FCCB) means a bond issued by an Indian company expressed in foreign currency, and the principal and interest in respect of which is payable in foreign currency”

Regulatory Framework

The issue and compliance of FCCB is governed as per the provisions of clause (a) of sub-section (3) of section 6 and section 47 of the Foreign Exchange Management Act 1999, (42 of 1999) and in supersession of Notification No. FEMA19/ RB 2000 dated 3rd May 2000, as amended from time to time the Reserve Bank of India.

Recent Amendments

Let us discuss in detail about Regulation 21 that prohibits issue of foreign security by a person resident in India under Part III of Foreign Exchange Management (Transfer or Issue of Any Foreign Security) (Amendment) Regulations, 2004restricts Investments in Foreign Securities other than by way of Direct Investment Sub-regulation (1) says – save as otherwise provided in the Act or in sub-regulation (2), no person resident in India shall issue or transfer a foreign security. Sub-regulation (2) allowed a person resident in India, being an Indian Company or a Body Corporate created by an Act of Parliament. i) May issue FCCBs not exceeding USD 500 million to a person resident outside India in accordance with and subject to the conditions stipulated in Schedule I. ii) May issue FCCBs beyond USD 500 million with the specific approval of the Reserve Bank. Notification No.FEMA.359/2015-RB Dated December 02, 2015 inserted the following provisions to the sub-regulation (2): iii) Provided that under these Regulations, the Reserve Bank may, in consultation with the Government of India, change / prescribe for the automatic as well as the approval route of FCCBs, any provision or proviso for issuance of FCCBs. iv) Provided that under these Regulations, the Reserve Bank may, in consultation with the Government of India, change / prescribe any provision or proviso for issuance of FCEBs. The Amendment was made to insert the provisions for FCEBs that was introduced in February 15, 2008 through the Issue of Foreign Currency Exchangeable Bonds Scheme, 2008.

FCEB

The Issue of Foreign Currency Exchangeable Bonds Scheme, 2008 defines “Foreign Currency Exchangeable Bond” means a bond expressed in foreign currency, the principal and interest in respect of which is payable in foreign currency, issued by an Issuing Company and subscribed to by a person who is a resident outside India in foreign currency and exchangeable into equity share of another company, to be called the Offered Company, in any manner, either wholly, or on the basis of any equity related warrants attached to debt instruments.

FCCB Vs FCEB

There are fundamental differences between FCCBs and FCEBs. In the case of FCCBs, the bonds convert into shares of the company that issued the bonds, while in the case of FCEBs, the bonds are exchangeable for shares in another company – i.e. the offered company. Further, in the case of FCCBs, when the holder exercises the option to convert, the issuer company issues fresh shares to the holder upon conversion of the FCCB. However, in the case of FCEBs, when the exchange option is exercised, there is no issuance of fresh shares by the offered company. Instead, it is a requirement that the shares of the offered company, into which the FCEBs are exchanged, be held by the issuing company at the time of issuance of the FCEBs and until redemption or exchange. Thus, on exchange, there is merely a transfer of the shares (of the offered company) held by the issuing company to the holder of the FCEB. As such, the issuance of FCEBs will have only a limited effect on the price of shares of the offered company, since there is no threat of future dilution, unlike in the case of FCCBs.

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Legal Term

Debile fundamentum fallit opus

Where there is a weak foundation the work fails. L. Debile – weak, infirm 1. Fundamentum – foundation, basis 2. Fallit – makes slip, disappoints, betrays 3. Opus – work, structure 4. A weak foundation makes slip the structure Law: A weak foundation puts the entire structure in jeopardy.

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MCA Updates

• In exercise of the powers conferred by sub-sections (l) and (2) of section 469 of the Companies Act, 2013 (18 of 2013), the Central Government made rules further to amend the Companies (Share Capital and Debentures) Rules,20l4,
• The Companies (Management and Administration) Third Amendment Rules, 2015 shall come into force on the date of their publication in the Official Gazette. In the Companies (Management and Administration) Rules, 2014, for Form No: MGT-7, the following form shall be substituted, namely:- Share Capital, Debentures And Other Securities of the Company, Share Holding Pattern – Promoters, Share Holding Pattern – Public/Other than Promoters.
• The Ministry’s General Circular dated 28.10.2015, keeping in view requests received from various stakeholders, it has been decided to relax the additional fees payable on e-forms AOC4, AOC (CFS) AOC-4 XBRL and e- Form MGT-7 up to 30.12.2015, wherever additional fee is applicable.

SEBI Updates

• SEBI, is in receipt of representations requesting for relaxation of the requirements of Regulation 33(1) (c) of SEBI (Listing obligations and Disclosure Requirements) Regulations, 2015 (“Listing Regulations”) for the quarter ending December 31, 2015 and quarter and financial year ending March 31, 2016 for all such listed entity which had exercised the option of preparing consolidated financial statements under IFRS for the first quarter of FY 2015-16..

RBI Updates

• In exercise of the powers conferred by sub-section (2) of Section 6, sub-section (2) of Section 47 of the Foreign Exchange Management Act, 1999 (42 of 1999), the Reserve Bank of India makes, in consultation with the Central Government, the following amendments in the Foreign Exchange Management (Permissible Capital Account Transactions) Regulations, 2000.
• Foreign Exchange Management (Manner of Receipt and Payment) (Amendment) Regulations, 2015 – (First Amendment) FEMA.14/2000-RB dated May 3, 2000 was amended vide Notification no. FEMA 357/2015-RB Dated December 6, 2015.
• Foreign Exchange Management (Borrowing or Lending in Foreign Exchange) (Amendment) Regulations, 2015 – First Amendment) FEMA.3/2000-RB dated May 3, 2000 was amended vide Notification no. FEMA 358/2015-RB Dated December 2, 2015.
• Foreign Exchange Management (Transfer or Issue of Any Foreign Security) (Amendment) Regulations, 2015 – (First Amendment) FEMA.120/2004-RB dated 07.07.2004 was amended vide Notification no. FEMA 359/2015-RB Dated December 2, 2015.
• Foreign Exchange Management (Permissible Capital Account Transactions) (Fourth Amendment) Regulations, 2015 – Fourth Amendment) FEMA.1/2000-RB dated May 3, 2000 was amended vide Notification no. FEMA 345/2015-RB Dated November 16, 2015.
• Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) (Eleventh Amendment) Regulations, 2015 – (Eleventh Amendment) FEMA.20/2000-RB dated 03.05.2000 was amended vide Notification no. FEMA 355/2015-RB Dated November 16, 2015

Income Tax Updates

• It has been brought to the notice of the Board that in the case of Banks, field officers are taking a view that, “expenses relatable to investment in non-SLR securities need to be disallowed u/s 57(i) of the Act as interest on non-SLR securities is Income from Other Sources”.
• Clause (id) of sub-section (1) of Section 56 of the Act provides that income by way of interest on securities shall be chargeable to income-tax under the head “Income from Other Sources”, if, the income is not chargeable to income-tax under the head “Profits and Gains of Business and Profession”.

Happy Diwali

Hope your Diwali was wonderful and the coming year is filled with prosperity, peace and happiness for you, your family and business. I wish this Diwali illuminate your days in the year ahead. After enjoying your festival this month, you must be happy again on hearing that the last date of filing forms AOC-4 (XBRL and non-XBRL) and MGT-7 have been extended till 30th Nov 2015 without additional fee. You might be in a hurry to utilize this opportunity and close all the compliances for the year for your Company and of your Clients and also have in note that the versions of forms AOC-4 (XBRL) and AOC-4attachments are modified from 1st Nov 2015. This month we are focusing on this and give you a brief about AOC-4.

 Saranya Deivasigamani,
CEO

AOC-4

Every company needs to file its financial statements, including consolidated financial statement and mandatory attachments, within the prescribed time limit as per section 137. In case financial statements are not adopted in AGM then un-adopted financial statements needs to be filed within 30 days of date of AGM (due date of AGM if AGM not held or extended due date, if any). Once financial statements are adopted then company shall file the adopted financial statements within 30 days of the AGM (actual or adjourned whichever is applicable). In case company revises the financial statements then revised financial statements are required to be filed. Certain classes of companies as notified under Companies (Filing of documents and forms in Extensible Business Reporting Language) Rules, 2015 by the Central Government are required to mandatorily file their financial statement in Extensible Business Reporting Language (XBRL) format. Other companies can also file their financial statement in XBRL format voluntarily. However, once, filed in XBRL format, they would be required to file subsequent financial statements only in XBRL format.

Eligibility

The following class of companies shall file their financial statement and other documents under section 137 of the Act, with the Registrar in e-form AOC-4 XBRL given in Annexure-l The greatest pleasure in life is doing what people say you cannot do. For the financial years commencing on or after 1st April, 2014 using the XBRL taxonomy given in Annexure II, namely:

1. All companies listed with any Stock Exchange(s) in India and their Indian subsidiaries; or
2. All companies having paid up capital of rupees five crore or above;
3. All companies having turnover of rupees hundred crore or above; or
4. All companies which were hitherto covered under the Companies (Filing of documents and Forms in Extensible Business Reporting Language) Rules, 2011.

Provided that the companies in Banking, Insurance, Power Sector and Non-Banking Financial companies are exempted from XBRL filing. A company required to furnish cost audit report and other documents to the Central Government under sub-section (6) of section 148 of the Act and rules made thereunder shall file such report and other documents using the XBRL taxonomy given in Annexure-III for the financial years commencing on or after 1st April, 2014 in e-form CRA-4 specified under the Companies (Cost Records and Audit) Rules, 2014. Companies can file this e-form for financial year commencing on or after 1st April 2014, for the following reasons:

• Provisional unadopted financial statements
• Adopted financial statements
• Revised financial statements u/s 130
• Revised financial statements u/s 131

Important points to note while filling the form

1. Filing of this form is allowed only for the financial years starting on or after 1st April 2014. This is because this form is under Act of 2013 which came into force only on 1st April 2014. Provisions of companies Act, 2013 related to financial year and financial statements shall apply only in relation to financial year started on or after 1st April 2014. A Financial Statement related to any financial year started before 1st April 2014 shall be filed in a form prepared under the Companies Act, 1956.
2. Nature of financial statements may be either:

• Situation 1: Provisional Unadopted Financial Statement: No additional information is required to be given in this case.
• Situation 2: Adopted Financial Statement: Where provisional unadopted financial statement was filed for same financial earlier, should be mentioned by using radio button. Whether such adopted financial statement is now adopted in Adjourned General Meeting or not. If such adopted financial statement is adopted in Adjourned General Meeting, dated of adjourned general meeting in which such adopted financial statement was adopted will be mentioned.
• In case of One Person Company (OPC), answer of the question related to earlier provisional Financial Statement shall be Not Applicable.
• Situation 3: Revised Financial Statements under Section 130: Where adopted financial statement was already filed and company wants to file revised financial statements, it needs to give some additional information. What is nature of revision? Whether only financial statement is being revised or Directors’ report or both? SRN number of Form INC – 28 (Copy of Central Government order) and SRN number of earlier AOC – 4 XBRL is require to be given. Date of order of competent authority shall be required to be filled.
• Situation 4: Revised Financial Statements under Section 131: Where adopted financial statement was already filed and company wants to file revised financial statements, it needs to give some additional information. What is nature of revision? Whether only financial statement is being revised or Directors’ report or both? SRN number of Form INC – 28 (Copy of Central Government order) and SRN number of earlier AOC – 4 XBRL is require to be given. Date of order of competent authority shall be required to be filled.

Time Line

1. Adoption of financial statement in case of OPC – 180 days form end of financial year
2. Provisional unadopted financial statement other than OPC – 30 days from Actual date of AGM or due or extended due date
3. Adopted Financial Statement other than OPC – 30 days from AGM or adjourned AGM.
4. Revised Financial Statements under Section 130 – 30 days from order of competent authority
5. Revised Financial Statement under Section 131 – 30 days from order of competent authority

 Vidhyaa Ragavendran,
Assistant Consultant

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Legal Term

Piercing the Corporate Veil

A situation in which courts put aside limited liability and hold a corporation’s shareholders or directors personally liable for the corporation’s actions or debts. Veil piercing is most common in close corporations. While the law varies by state, generally courts have a strong presumption against piercing the corporate veil, and will only do so if there has been serious misconduct like abuse of the corporate form (e.g. intermingling of personal and corporate assets) or undercapatitalisation at the time of incorporation.

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MCA Updates

• Last date of filing forms AOC-4 (XBRL and non-XBRL) and MGT-7 have been extended till 30th Nov 2015 without additional fee.
• New Form AOC-4 CFS (Form for filing consolidated financial statements and other documents with the Registrar) would be available for filing w.e.f. 1st Nov 2015. Version of INC-4 is modified w.e.f. 6th Nov 2015.
• Limited Liability Partnership (Amendments) Rules, 2015
• The Act comes in to force with effect from 19th Oct 2015. In the LLP Rules 2009, rule 33, 39, 40, Form 2, Form 4, Form 16, Form 19 and Form 30 are modified
• Version of Form 8 LLP is modified w.e.f. 13th Nov 2015. Stakeholders are requested to plan accordingly.
• Versions of Forms 2A LLP, 4A LLP are modified w.e.f 19th Oct 2015. Form 14 LLP have been withdrawn. Stakeholders are requested to plan accordingly.

SEBI Updates

• Securities and Exchange Board of India (SEBI) by exercising its power under 11(1) and 11A of the Securities and Exchange Board of India Act, 1992 issued a circular dated 13th October, 2015 for uniform format of listing agreement incorporating revised disclosures and regulatory requirements applicable for listed entities.

Income Tax Updates

• Taxation of income from off-shore Rupee Denominated Bonds
• Finance Minister launches the “e-Sahyog” pilot project of the Income-tax Department

CEO is happy on the response with first edition…

It gives me immense pleasure to share with you the second edition of our Zappy News. We have received an encouraging response from the first edition and hope that you find the second edition equally enriching. In our second edition of the newsletter, you can see some interesting articles related to CARO, FAQ on filing in form MGT-7 and updates on Notifications issued by MCA, RBI, SEBI and IT Department on September, 2015. Most importantly, your feedback is extremely crucial for us to continuously innovate and raise the bar. We would really appreciate your valuable inputs pertaining to this newsletter or for that matter our products and services. We would like to thank you again for your attention and assure you the best of our services at all times. Wish you, your team and family a happy Navratri festival.

 Saranya Deivasigamani,
CEO

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A brief about CARO

The Ministry of Corporate Affairs, on 10th April 2015, notified the Companies (Auditor’s Report) Order- 2015 (CARO, 2015) After the enactment of the Companies Act, 2013, the Companies Act, 1956 (old Act) ceased to have effect from April 2014. As a corollary, the Companies (Auditor’s Report) Order, 2003 also ceased to have effect from the said date. The Institute of Chartered Accountants of India (ICAI) were receiving queries from the members regarding applicability of CARO, 2003 along with Auditors’ Report on financial statements of Companies for the financial year 2014-15. To clear the issue, the ICAI made announcement on April 8, 2014, wherein it was provided that a smaller version of CARO, 2003, applicable for the financial year 2014-15, might be notified under section 143(11) of the Companies Act, 2013 (New Act) Now, the new CARO 2015 has been notified by the Government vide order dated April 10, 2015 which would be applicable from financial year 2014-15. New CARO excludes One Person Company (OPC) and Small Company from its preview. For exclusion of private limited Company, the ceiling of paid-up capital and reserve, and turnover remain unchanged.

1. APPLICABILITY

It shall apply to every company including a foreign Company as defined in clause (42) of section 2 of the Companies Act, 2013 Except following companies

• A banking company as defined in clause (c) of section 5 of the Banking Regulation Act, 1949 (10 of 1949);
• An insurance company as defined under the Insurance Act,1938 (4 of 1938);
• A company licensed to operate under section 8 of the Companies Act;
• A One Person Company as defined under clause (62) of section 2 of the Companies Act and a small company as defined under clause (85) of section 2 of the Companies Act; and
• A private limited company with a paid up capital and reserves not more than rupees fifty lakhs and which does not have loan outstanding exceeding rupees twenty five lakhs from any bank or financial institution and does not have a turnover exceeding rupees five crores at any point of time during the financial year.

2. CARO, 2015 APPLIES FOR THE FINANCIAL YEAR COMMENCING ON OR AFTER 1ST APRIL, 2014

Auditor’s report to contain matters specified in paragraphs 3 and 4. Every report made by the auditor under section 143 of the Companies Act, on the accounts of every company examined by him to which this Order applies for the financial year commencing on or after 1St April, 2014, shall contain the matters specified in paragraphs 3 and 4.

3. MATTERS TO BE INCLUDED IN THE AUDITOR’S REPORT

The auditor’s report on the account of a company to which this Order applies shall include a statement on the following matters, namely:- 1. FIXED ASSETS

• Whether the Company is maintaining proper records showing full particulars, including quantitative details and situation of fixed assets;
• Whether these fixed assets have been physically verified by the management at reasonable intervals; whether any material discrepancies were noticed on such verification and if so, whether the same have been properly dealt with in the books of account;

2. INVENTORY

• Whether physical verification of inventory has been conducted at reasonable intervals by the management;
• Are the procedures of physical verification of inventory followed by the management reasonable and adequate in relation to the size of the company and the nature of its business? If not, the inadequacies in such procedures should be reported;
• Whether the company is maintaining proper records of inventory and whether any material discrepancies were noticed on physical verification and if so, whether the same have been properly dealt with in the books of account;

3. LOAN AND ADVANCES

• Whether the company has granted any loans, secured or unsecured to companies, firms or other parties covered in the register maintained under section 189 of the Companies Act. If so,
• Whether receipt of the principal amount and interest arc also regular; and
• If overdue amount is more than rupees one lakh, whether reasonable steps have been taken by the company for recovery of the principal and interest;

4. INTERNAL CONTROL

• Is there an adequate internal control system commensurate with the size of the company and the nature of its business, for the purchase of inventory and fixed assets and for the sale of goods and services? Whether there is a continuing failure to correct major weaknesses in internal control system.

5. DEPOSITS

• In case the company has accepted deposits, whether the directives issued by the Reserve Bank of India and the provisions of sections 73 to 76 or any other relevant provisions of the Companies Act and the rules framed there under, where applicable, have been complied with?
• If not, the nature of contraventions should be stated; If an order has been passed by Company Law Board or National Company Law Tribunal or Reserve Bank of India or any court or any other tribunal, whether the same has been complied with or not?

6. COST ACCOUNTING RECORDS

• Where maintenance of cost records has been specified by the Central Government under sub-section (1) of section 148 of the Companies Act, whether such accounts and records have been made and maintained;

7. STATUTORY DUES

• Is the company regular in depositing undisputed statutory dues including provident fund, employees’ state insurance, income-tax, sales-tax, wealth tax, service tax, duty of customs, duty of excise, value added tax, cess and any other statutory dues with the appropriate authorities and if not, the extent of the arrears of outstanding statutory dues as at the last day of the financial year concerned for a period of more than six months from the date they became payable, shall be indicated by the auditor.
• In case dues of income tax or sales tax or wealth tax or service tax or duty of customs or duty of excise or value added tax or cess have not been deposited on account of any dispute, then the amounts involved and the forum where dispute is pending shall be mentioned. (A mere representation to the concerned Department shall not constitute a dispute).
• Whether the amount required to be transferred to investor education and protection fund in accordance with the relevant provisions of the Companies Act, 1956 (1 of 1956) and rules made there under has been transferred to such fund within time.

8. LOSS MAKING COMPANIES

• Whether in case of a company which has been registered for a period not less than five years, its accumulated losses at the end of the financial year are not less than fifty per cent of its net worth and whether it has incurred cash losses in such financial year and in the immediately preceding financial year;

9. REPAYMENT OF DUES

• Whether the company has defaulted in repayment of dues to a financial institution or bank or debenture holders?
• If yes, the period and amount of default to be reported;

10. GUARANTEE GIVEN

• Whether the company has given any guarantee for loans taken by others from bank or financial institutions, the terms and conditions whereof are prejudicial to the interest of the company;

11. USE OF FUNDS

• Whether term loans were applied for the purpose for which the loans were obtained;

12. FRAUD

• Whether any fraud on or by the company has been noticed or reported during the year; If yes, the nature and the amount involved is to be indicated.

REASONS TO BE STATED FOR UNFAVOURABLE OR QUALIFIED ANSWERS

• Where, in the auditor’s report, the answer to any of the questions referred to in paragraph 3 is unfavourable or qualified, the auditor’s report shall also state the reasons for such unfavourable or qualified answer, as the case may be.
• Where the auditor is unable to express any opinion in answer to a particular question, his report shall indicate such fact together with the reasons why it is not possible for him to give an answer to such question.

Important points to know while MGT-7 Filing

• MGT 8 is applicable for Listed Companies and for other Companies, if the Paid up capital is more than 10 Crores or Profit is more than 50 Crores.
• Address and category of the Company is given dynamic so the address and category of the Company for that particular which relates to the filing shall be entered. But this does not validate the address / category unless all regular formalities like filing INC-22 etc., are done.
• All activities done by the Company should be mentioned in descending order of % contributing to total turnover of the Company. Only if the number of business activities is less than 10 then the total of the % should equal to 100%.
• Transfer of shares should contain only the transfers made in the period for which the annual return is filed. Date of transfer of Debentures need not be entered.
• NIL check boxes should be used only if both categories mentioned are not made in the period for which the annual return is filed.
• Under KMP, the regular employees who are designated as Director but not in the board or KMP as per the act like Marketing Director etc., are need not to be entered.
• The committees that are mandatory under the Act and its details are to be mentioned.
• No, Sitting fees for the Directors need not to be entered under remuneration.
• MGT-8 got 18 points and it is practically not possible to check all the compliances of the Company hence a PCS shall give an optional attachment stating that these are the compliances we have seen and verified and list the compliances that were physically verified.
• Penalty and Punishments and Compounding imposed under any act (not only CA, 2013) is to be mentioned. Any proceeding, where the penalty is not finally imposed need not to be mentioned.
• There is a limit of maximum 5 files only can be attached under optional attachments. If there are more than 5 details requires optional attachment then all the similar documents shall be clubbed in a single file.

CS V Prasanna, B.Com, ACS,
Proprietor, Prasanna & Associates
Company Secretary In Practice

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Legal Term

Consensus ad idem (also referred to as mutual agreement, mutual assent or consensus ad idem)

Phrase (p).in contract law used to describe the intentions of the parties forming the contract. In particular it refers to the situation where there is a common understanding in the formation of the contract. This condition or element is often considered a necessary requirement to the formation of a contract.

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MCA Updates

• The sub-section (1) of section 467 of the Companies Act, 2013 (18 of 2013), the Central Government made further alterations in Schedule III.
• The sections 73 and 76 with subsection (1) of section 469 of the Companies Act, 2013 (18 of 2013), the Central Government made amendments to the Companies (Acceptance of Deposits) Rules, 2014.
• In the Companies (Management and Administration) Rules, 2014, in Form No. MGT-7, in paragraph I, under serial number (i), after “Global Location Number (GLN) of the Company”, the following shall be inserted, namely:-
• “Permanent Account Number (PAN) of the Company __________”
• The sub-section (6) of section 129 of the Companies Act, 2013 (18 of 2013), the Central Government hereby, in public interest, Additional information of the General lnstructions for preparation of Statement of Profit and Loss in Schedule III of the Companies Act, 2013 shall not apply to government companies producing Defence Equipment including the Space Research subject to fulfillment of certain conditions.
• New forms AOC-4(Non-XBRL), MGT-7, ADT-2 & SH-9 are being made available w.e.f. 25th September 2015 along with C&I Validation tool beta version. Versions of forms CRA-4 and CHG-4 are likely to be modified w.e.f. 25th Sept 2015.

SEBI Updates

• SEBI has notified SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (Listing Regulations) on September 2, 2015 after following the consultation process. SEBI in its Board meeting dated 19th November, 2014 approved the conversion of existing listing agreements into a single comprehensive regulation for various type of listed entities.
• Role of Company Secretary under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 has been defined.

RBI Updates

• In order to facilitate Rupee denominated borrowing from overseas, RBI has decided to put in place a framework for issuance of Rupee denominated bonds overseas within the overarching ECB policy.
• The limits for investment by foreign portfolio investors (FPI) in Government securities were last increased to USD 30 billion vide. A Medium Term Framework (MTF) for FPI limits in Government securities was announced to provide a more predictable regime.

Income Tax Updates

• The due date for ITR and audit reports u/s 44AB which were due by 30th September 2015 has been extended to 31st October 2015 for the entire country.
• The Principal DGIT(Systems) has issued Notification No 4/2015 dated 04/09/2015 regarding Form No 61B related to Statement of Reportable Accounts u/s 285BA(1) of the Income-tax Act, 1961. The procedures prescribed in Notification 3 dated 25th August, 2015 stands withdrawn forthwith. The registration and submission of Nil statement already completed under the procedures prescribed in Notification 3 dated 25th August, 2015 shall continue to be valid.