SME Times News Bureau | 24 Jun, 2019
In
order to redress investors ‘grievances, action has been initiated
against 95 companies in 2016-17, 101 companies in 2017-18 and 75 companies in
2018-19 under various provisions of the Companies Act, said Union Minister of Finance &
Corporate Affairs Nirmala Sitharaman
Sitharaman mentioned this in a written reply to a question in Lok Sabha
today.
Citing rules, Sitharaman
stated that Section 178(5) & 178(6) of the Companies Act, 2013 mandate that
every company having more than 1,000 shareholders, debenture holders, deposit
holders and any other security holders shall constitute a Stakeholders
Relationship Committee to consider and resolve the grievances of the security
holders of the company.
Further, to safeguard small
investors trading in exchanges in stocks of companies that default on payment,
Securities and Exchange Board of India (Sebi), in last three years, has initiated
action against 22 companies under section 15-I (Adjudication Proceedings) of
the Sebi Act, 1992 and against 211 companies under section 11B (Issue of
Directions to Companies) of the Sebi Act, 1992, the Minister added.
The Minister further informed
that during the year FY 2018-19 Sebi has received 2,453 complaints for
non-payment of dues and resolved 2,746 complaints which include complaints
pertaining to previous years also.