CAIRR Update May 16, 2023

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CAIRR Update May 16, 2023

May 16, 2023

Summary of the MCA Notification dated 15/05/2023

This notification is integrated in our free-to-use website

MCA amends Companies (Compromises, Arrangements and Amalgamations) Rules, 2016 with effect from 15/06/2023.

Through this amendment, MCA has amended the following timelines for issue of objections or suggestions & Confirmation Order w.r.t mergers or amalgamations of certain class of  companies:

1.  All the objections or suggestions from the Registrar of Companies (RoC) or the Official Liquidator shall be given within 30 days of receipt of copy of the scheme of merger or amalgamation under Section 233 of CA 2013, to the  Central Government (CG).

2.  The CG shall issue the Confirmation order in Form CAA 12  within 15 days after the expiry of the said 30 days or where there is no objection/suggestion from the RoC & the Official Liquidator or the objection/ suggestions are not sustainable and the scheme is in the interest of Creditors and Public.

3.  Where CG is of the opinion that it is not in the public interest or in the interest of creditors , whether based on the objections or suggestions received or otherwise, it may within 60 days of the receipt of the scheme, file an application before the Tribunal in form CAA 13 to consider the scheme under Section 232 (Merger and amalgamation of companies) of CA, 2013. 

4.  Where the Confirmation order has not been issued by the CG within 60 days of receipt of scheme, it shall be deemed that it has no objection to the scheme and a confirmation order shall be issued accordingly.

Click here to view the MCA Notification on Companies (Compromises, Arrangements and Amalgamations) Rules, 2016

By | 2023-05-17T15:35:16+00:00 May 17th, 2023||0 Comments

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