An independent director is a non-executive director who does not have any kind of relationship with the company that may affect the independence of his/her judgment. An independent director should not have been a partner or executive director of the auditors/lawyers/consultants of the company in preceding three years or should not hold 2% or more […]

Corporate fraud is defined as unlawful, misleading activities conducted by a company or a person using highly trained accounting practices to inflate a company’s apparent earnings, which can take years to identify. Furthermore, this article seeks to analyze the causes and impacts of fraud on corporate stakeholders.  Corporate fraud consists of illegal, deceptive actions committed

Transfer and Transmission of Securities refer to the legal process of transferring ownership of stocks, bonds, and other financial assets from one party to another. It is a crucial aspect of the financial industry, as it enables investors to buy and sell securities in a transparent and secure manner. he act of movement of an

The Companies Act, 2013 provides a comprehensive framework for the allotment of securities by a company. The Act contains provisions for the issuance of securities through a prospectus or a private placement, and for the creation of debentures by a company. The Act also lays down the conditions for the authorization of the issuance of securities,

A Company is an official entity that involves formal transactions. Every gathering, communication, or transaction which has the potential to affect any interest of the members shall be recorded. These records achievements help in tracking the developments and changes in the functioning of the business. The notes or recommendations recorded during such meetings of the company

A Non-governmental organization (NGO) refers to the organization which is established by a group of people to render their services not with the intentions of profit but with the sole purpose to help the society. The NGO is described as a non-profit making organization in which funds are raised from members, donors or contributors besides from receiving

India is amongst the fastest-growing economies globally, with substantial human potential and a large market comprising over 1.2 billion people. The opportunities present in India have attracted a large amount of Foreign Direct Investment (FDI) into the country. Each year, the FDI inflow increases due to many foreign businesses establishing their operations in India. However,

In the realm of corporate law, the principle of a company as a separate legal entity stands as a cornerstone. This concept, established in the landmark case of Salomon v. Salomon & Co. Ltd. (1897), asserts that upon incorporation, a company acquires an identity distinct from its shareholders and directors. This separation grants the company

The Board of Directors manage the operations of a company. The Board of Directors consists of individual directors of a company. As per the Companies Act, 2013 (‘Act’), certain companies must have independent directors on their Board of Directors. The Companies Act, 1956 did not provide a specific definition of an Independent Director. But Independent Directors are

The directors of a company bear the responsibility for managing its day-to-day operations, while the shareholders, who are the rightful owners, delegate this role to the directors as their representatives. The Companies Act 2013 in India distinctly delineates directors’ and shareholders’ rights and duties. As a general principle, the entity that appoints a director retains the