Corporate Law is a study of legal and external affair matters, Mergers and Acquisitions (M&A) and how shareholders, stakeholders, consumers and other parties involved in transaction interact with each other internally through corporate governance and externally through commercial transaction.
In India, under the Companies Act 1956, which was the very first enacted post independence to consolidate the laws relating to companies, which specifically focused upon the accounting regulations. This act has undergone various changes and amendments and thus on later stage, The Companies Act, 2013 was so enacted, which has also undergone various amendments in which the very recent one was made by the Companies (Amendment) Act, 2019.
Competition Act of 2002 was passed by the parliament in the year 2002, to which the President Accorded assent in January, 2003. It was subsequently amended by the Competition (Amendment) Act, 2007. In accordance with the provisions of the Amendment Act, the Competition Commission of India and the Competition Appellate Tribunal have been established. The Competition Commission of India is now fully functional with a Chairperson and Six members.
The provisions of the Competition Act relating to anti-competitive agreements and abuse of dominant position were notified on May 20, 2009. This Competition Act of 2002 basically promotes sustainable competition in market and prohibits any anti-competitive business tactics.
Foreign Trade Act 1992, today the entire scenario of exports and imports in India is regulated and managed under this Act of 1992. This has eliminated all the existing nuances of the previously introduced act and bestowed the Government enormous powers to control it. This believed to be a breakthrough in the economic development of the country, especially in today’s world of globalization. It was so enacted in the manner which can run parallel with the current trade policies associated with the foreign countries.
As per the present scenario the new trade policy was announced on the 1st of April, 2015 by the Govt. Ministry of Commerce and Industry. This current foreign trade policy extends for the period 2015-2020. This majorly aim the development of export potential, improvement of export performance, encouragement of foreign trade as well as the creation of favorable balance of the position of the payment.
The Securities and Exchange Board of India Act, 1992 it provides the need to establishment of a Board to protect the interests of investors in securities and to promote the development of, and to regulate, the securities market. This is to regulate and develop the securities market in India. It was further amended to meet the changes in the developing requirements of the securities market.
SEBI is an organization that is responsible for maintaining an environment that is free from malpractices to restore the confidence of the general public who invest their hard-earned money in the market.
IMPORTANCE OF HAVING THESE LAWS
Corporate Law is important as it regulates how corporations, investors, shareholders, directors, employees, creditors and other stakeholders such as consumers the community, and the environment interact with one another. Corporate Laws are in place to maintain a fair market so new businesses can enter and compete with others. They keep all corporations on an even playing field by outlawing overly unpredictable business activities and behavior.
Corporate Governance refers to the rules, processes, or laws by which businesses are operated, regulated and controlled. The committees have identified three major aspects namely accountability, transparency and equal treatment of all shareholders. It is one of the most important areas of corporate governance introduced in Companies Act, 2013; this has increased the ambit of companies to constitute audit committees to look upon the audits and such other several committees.
The Foreign Trade Policy of any country is equally important as other laws dealing with corporate laws for the free flow of economy and the overall economic development of the country. Without a proper foreign trade policy, any country would fail to execute its import as well as export business smoothly, if no such proper policy the entire international business of the country will fall down miserably and the same will surely meet a dead end.
The SEBI Act, 1992 provides the importance to protect the interests of investors in securities and to promote the development and regulations of the Securities Market. The Competition Act, 2002 regulates competition in India and has the mandate to eliminate practices having an adverse on competition, promoting and sustaining competition, protecting the interests of consumers’ and ensuring freedom of trade in Indian market.
I have always been against Glorifying Over Work and therefore, in the year 2021, I have decided to launch this campaign “Balancing Life”and talk about this wrong practice, that we have been following since last few years. I will be talking to and interviewing around 1 lakh people in the coming 2021 and publish their interview regarding their opinion on glamourising Over Work.
If you are interested in participating in the same, do let me know.
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