Section 409, 410, 411, 412, 435 and 438 of Companies Amendment Act 2017

 

Amendment of section 409 of Companies Act 2013

82. In section 409 of the principal Act, in sub-section (3),-
(i) in clause (a), for the words "out of which at least three years shall be in the pay scale of Joint Secretary to the Government of India or equivalent or above in that service", the words "and has been holding the rank of Secretary or Additional Secretary to the Government of India" shall be substituted;
(ii) for clause (e), the following clause shall be substituted, namely:-
"(e) is a person of proven ability, integrity and standing having special knowledge and professional experience of not less than fifteen years in industrial finance, industrial management, industrial reconstruction, investment and accountancy.".

 

 

 

Amendment of section 410 of Companies Act 2013

83. In section 410 of the principal Act, for the words "orders of the Tribunal", the words "orders of the Tribunal or of the National Financial Reporting Authority" shall be substituted.

 

Amendment of section 411 of Companies Act 2013

84. In section 411 of the principal Act, for sub-section (3), the following sub-section shall be substituted, namely:- "(3) A technical member shall be a person of proven ability, integrity and standing having special knowledge and professional experience of not less than twenty-five years in industrial finance, industrial management, industrial reconstruction, investment and accountancy.".

 

Amendment of section 412 of Companies Act 2013

85. In section 412 of the principal Act, for sub-section (2), the following sub-sections shall be substituted, namely:-
"(2) The Members of the Tribunal and the Technical Members of the Appellate Tribunal shall be appointed on the recommendation of a Selection Committee consisting of-
(a) Chief Justice of India or his nominee-Chairperson;
(b) a senior Judge of the Supreme Court or Chief Justice of High Court- Member;
(c) Secretary in the Ministry of Corporate Affairs-Member; and
(d) Secretary in the Ministry of Law and Justice-Member.
(2A) Where in a meeting of the Selection Committee, there is equality of votes on any matter, the Chairperson shall have a casting vote.".

 

Amendment of section 435. Establishment of Special Courts

86. For section 435 of the principal Act, the following shall be substituted, namely:-
"435. (1) The Central Government may, for the purpose of providing speedy trial of offences under this Act, by notification, establish or designate as many Special Courts as may be necessary.
(2) A Special Court shall consist of-
(a) a single judge holding office as Session Judge or Additional Session Judge, in case of offences punishable under this Act with imprisonment of two years or more; and
(b) a Metropolitan Magistrate or a Judicial Magistrate of the First Class, in the case of other offences,
who shall be appointed by the Central Government with the concurrence of the Chief Justice of the High Court within whose jurisdiction the judge to be appointed is working.".

 

Amendment of section 438 of Companies Act 2013

87. In section 438 of the principal Act, for the words "deemed to be a Court of Session", the words "deemed to be a Court of Session or the court of Metropolitan Magistrate or a Judicial Magistrate of the First Class, as the case may be," shall be substituted.