Companies (Share Capital and Debentures) Amendment Rules, 2015

Noti­fi­ca­tion

New Del­hi, Dat­ed 18^th March, 2015

G.S.R. (E).- In exer­cise of the pow­ers con­ferred under sub-clause (ii) of clause (a) of sec­tion 43,sub-clause (d) of sub-sec­tion (1) of sec­tion 54, sub-sec­tion (2) of sec­tion 55, sub-sec­tion (1) of sec­tion 56, sub-sec­tion (3) of sec­tion 56, sub-sec­tion (1) of sec­tion 62, sub-sec­tion (2) of sec­tion 42,clause (f) of sub-sec­tion (2) of sec­tion 63, sub-sec­tion (1) of sec­tion 64 , clause (b) of sub-sec­tion (3) of sec­tion 67, sub-sec­tion (2) of sec­tion 68, sub-sec­tion (6) of sec­tion 68, sub-sec­tion (9) of sec­tion 68, sub-sec­tion (10) of sec­tion 68, sub-sec­tion (3) of sec­tion 71, sub-sec­tion (6) of sec­tion 71, sub-sec­tion (13) of sec­tion 71 and sub-sec­tions (1) and (2) of sec­tion 72, read with sub-sec­tions (1) and (2) of sec­tion 469 of the Com­pa­nies Act, 2013 (18 of 2013), the Cen­tral Gov­ern­ment here­by makes the fol­low­ing rules fur­ther to amend the Com­pa­nies (Share Cap­i­tal and Deben­tures) Rules, 2014,namely:-

1. (1) These rules may be called the Com­pa­nies (Share Cap­i­tal and Deben­tures) Amend­ment Rules, 2015.

(2) They shall come into force from the date of their pub­li­ca­tion in the Offi­cial Gazette.

1. In the Com­pa­nies (Share Cap­i­tal and Deben­ture) Rules, 2014,-

(1) for rule 3, the fol­low­ing rule shall be sub­sti­tut­ed, namely:-

1. Appli­ca­tion.- The pro­vi­sions of these rules shall apply to

(a) all unlist­ed pub­lic companies;

(b) all pri­vate com­pa­nies; and

© list­ed com­pa­nies so far as they do not con­tra­dict or con­flict with any oth­er reg­u­la­tion framed in this regard by the Secu­ri­ties and Exchange Board of India;

(2) in rule 5, in sub-rule (3), in clause (b),

(a) the first pro­vi­so shall be omitted;

(b) in the sec­ond pro­vi­so for the words “pro­vid­ed fur­ther that”, the words “pro­vid­ed that” shall be substituted;

© in the third pro­vi­so for the words “pro­vid­ed also that” the words “pro­vid­ed fur­ther that” shall be substituted;

(3) in rule 6, in sub-rule (2), in clause ©, for the words “with­in fif­teen days”, the words “with­in forty-five days” shall be substituted;

(4)  in rule  12, in sub-rule (1), in the Expla­na­tion, in clause ©, the words “or of an asso­ciate com­pa­ny” shall be omitted;

(5) in rule 13, in sub-rule (1), -

(a) in the pro­vi­so, for the words “pro­vid­ed that” the words “pro­vid­ed fur­ther that” shall be sub­sti­tut­ed and before the pro­vi­so as so amend­ed, the fol­low­ing pro­vi­so shall be insert­ed, namely:-

“Pro­vid­ed that in case of any pref­er­en­tial offer made by a com­pa­ny to one or more exist­ing mem­bers only, the pro­vi­sions of sub-rule (1) and pro­vi­so to sub-rule (3) of rule 14 of Com­pa­nies (Prospec­tus and Allot­ment of Secu­ri­ties) Rules, 2014 shall not apply.”

(6) in rule 18,-

(a) in sub-rule (1) -

(A) in clause (d), for sub-claus­es (i) and (ii), the fol­low­ing sub-claus­es shall be sub­sti­tut­ed , namely:-

“(i) any spe­cif­ic mov­able prop­er­ty of the com­pa­ny ; or

(ii) any spe­cif­ic immov­able prop­er­ty wher­ev­er sit­u­ate, or any inter­est therein:

Pro­vid­ed that in case of a non-bank­ing finan­cial com­pa­ny, the charge or mort­gage under sub-clause (i) may be cre­at­ed on any mov­able property”

(B) in clause (d), after sub-clause (ii), fol­low­ing pro­vi­so shall be insert­ed, namely:-

“Pro­vid­ed  fur­ther  that  in  case of any issue of deben­tures by a Gov­ern­ment com­pa­ny which is ful­ly secured by the guar­an­tee giv­en by the Cen­tral Gov­ern­ment or one or more State Gov­ern­ment or by both, the require­ment for cre­ation of charge under this sub-rule shall not apply.”

Pro­vid­ed also that in case of any loan tak­en by a sub­sidiary com­pa­ny from any bank or finan­cial insti­tu­tion the charge or mort­gage under this sub-rule may also be cre­at­ed on the prop­er­ties or assets of the hold­ing company;

(b) in sub-rule (5), for the words “with­in six­ty days of allot­ment of deben­tures”, the words “with­in three months of clo­sure of the issue or offer” shall be substituted;

© after sub-rule (8), fol­low­ing sub–rules shall be insert­ed, namely:-

“(9)  Noth­ing con­tained in this rule shall apply to any amount received by a com­pa­ny against issue of com­mer­cial paper or any oth­er sim­i­lar instru­ment issued in accor­dance with the guide­lines or reg­u­la­tions or noti­fi­ca­tion issued by the Reserve Bank of India.

(10) In case of any offer of for­eign cur­ren­cy con­vert­ible bonds or for­eign cur­ren­cy  bonds  issued  in  accor­dance  with  the For­eign Cur­ren­cy Con­vert­ible Bonds and Ordi­nary Shares (Through Depos­i­to­ry Receipt Mech­a­nism) Scheme,  1993  or reg­u­la­tions or direc­tions issued by the Reserve Bank of India, the pro­vi­sions of this rule shall not apply unless oth­er­wise pro­vid­ed in such Scheme or reg­u­la­tions or directions.”

(7) in rule  19, in sub-rule (11), for the word, let­ters and fig­ures “Form No. SH-14”, the word, let­ters and fig­ures “Form SH-13” shall be substituted.

(8)  in the Annex­ure, for “Form SH-13” and “Form SH-14”, the fol­low­ing Forms shall respec­tive­ly, be sub­sti­tut­ed, namely:-

Form No. SH-13

Nom­i­na­tion Form

[Pur­suant to sec­tion 72 of the Com­pa­nies Act, 2013 and rule 19(1) of the Companies

(Share Cap­i­tal and Deben­tures) Rules 2014]

To

Name of the company:

Address of the company:

I/We  .….…. the holder(s) of the secu­ri­ties par­tic­u­lars of which are giv­en here­un­der wish to make nom­i­na­tion and do here­by nom­i­nate the fol­low­ing per­sons in whom shall vest, all the rights in respect of such secu­ri­ties in the event of my/our death.

(1) PARTICULARS OF THE SFCURI’l IE,S (in respect of which nom­i­na­tion is being made)

Nature of securities

Folio No

No. of securities

Cer­tifi­cate No

Dis­tinc­tive No.

(2) PARTICULARS OF NOMINEE/S

(a) Name:

(b) Date of Birth:

© Father’s/Mother’s/Spouse’s name:

(d) Occu­pa­tion:

(e) Nation­al­i­ty:

(f) Address:

(g) E‑mail id:

(h) Rela­tion­ship with the secu­ri­ty holder:

(3) IN CASE NOMINEE IS A MINOR–

(a) Date of birth:

(b) Date of attain­ing majority

© Name of guardian:

(d) Address of guardian:

(4)  PARTICULARS OF NOMINEE IN CASE MINOR NOMINEE DIES BEFORE ATTAINING AGE OF MAJORITY

(a) Name:

(b) Date of Birth:

© Father’s/Mother’s/Spouse’s name:

(d) Occu­pa­tion:

(e) Nation­al­i­ty:

(f) Address:

(g) E‑mail id:

(h) Rela­tion­ship with the secu­ri­ty holder:(i) Rela­tion­ship with the minor nominee

Name:

Address:

Name of the Security Holder(s)

Sig­na­ture

Wit­ness with name  and address

Form No. SH-14

Can­cel­la­tion or Vari­a­tion of Nomination

[Pur­suant to sub-sec­tion (3) of sec­tion 72 of the Com­pa­nies Act, 2013 and rule 19(9) of the

Com­pa­nies (Share Cap­i­tal and Deben­tures) Rules 2014]

Name of the company :

I/We here­by can­cel the nomination(s) made by me/us in favor of………..(name and address of the nom­i­nee) in respect of the below men­tioned securities.

Or

I/We here­by nom­i­nate the fol­low­ing per­son in place of  as nom­i­nee in respect of the below men­tioned secu­ri­ties in whom shall vest all rights in respect of such secu­ri­ties in the event of my/our death

(1) PARTICULARS OF THE SECURITIES (in respect of which nom­i­na­tion is being can­celled / varied )

Nature of securities

Folio No

No. of securities

Cer­tifi­cate No

Dis­tinc­tive No.

(2) (a) PARTICULARS OF THE NEW NOMINEE:

i. Name:

ii. Date of Birth:

iii. Father’s/Mother’s/Spouse’s name:

iv. Nation­al­i­ty:

v. Address:

vi. E‑mail id:

vii. Rela­tion­ship with the Secu­ri­ty holder:

(b) IN CASE NEW NOMINEE IS A MINOR–

i. Date of Birth:

ii. Date of attain­ing majority

iii. Name of guardian.

iv. Address of guardian:

(3)  PARTCULARS OF NOMINEE IN CASE MINOR NOMINEE DIES BEFORE ATTAINING AGE OF MAJORITY

(a) Name:

(b) Date of Birth:

© Father’s/Mother’s/Spouse’s name:

(d) Occu­pa­tion:

(e) Nation­al­i­ty:

(f) Address:

(g) E‑mail id:

(h) Rela­tion­ship with the secu­ri­ty holder:

(i) Rela­tion­ship with the minor nominee

Sig­na­ture

Name of the Secu­ri­ty Hold­er (s)

Wit­ness with name and address

[F. No. 1/4/2013-CL‑V(Pt I)]

Amardeep  S. Bhatia

(Joint Sec­re­tary)

Note. - The prin­ci­pal rules were pub­lished in the Gazette of India, Part II, sec­tion 3, sub-sec­tion (i) vide num­ber GSR 265(E) dat­ed 31^st March, 2014 and sub­se­quent­ly amend­ed vide GSR Num­ber 413(E) dat­ed 18^th June, 2014.