Corporate Fraud

Centre bars three lakh directors of companies that violated regulations

The Corporate Affairs Ministry also warned of action against those who divert funds to shell companies.

The government on Wednesday barred three lakh directors of companies, which defaulted on laws related to their functioning, from serving on the boards of other firms, Mint reported. The Ministry of Corporate Affairs also decided to crack down on beneficial owners of suspected shell companies.

The Centre also warned of action against those who divert funds from firms delisted by the Registrar of Companies. The ministry said it was monitoring the steps taken by regulatory authorities against chartered accountants, company secretaries and cost accountants who helped shell companies commit financial irregularities.

“Weeding out shell companies will not only help check the menace of black money, but also promote an ecosystem of ease of doing business,” Minister of State for Corporate Affairs PP Chaudhary said, adding that such action will also enhance investor confidence.

Filing annual reports on time will minimise the possibility of fraud and tax evasion, protect shareholders’ interests and improve India’s image globally, Chaudhary explained.

The Centre’s move comes a day after it froze the bank accounts of more than two lakh firms struck off by the Registrar of Companies.

We welcome your comments at letters@scroll.in.
Sponsored Content BY 

If YOLO is your mantra, get ready to live it the right way

So much to do, so little time!

Carpe Diem! We are a part of the generation that truly knows how to live by those words. We understand the value of everyday and believe that life should be lived in the moment. We fear nothing, except maybe the fear of missing out. We live for an adrenalin rush that keeps us young and makes us feel alive. And what makes this spirit more powerful is that it has captured our collective pulse and has created a refreshed way of life.

Planning for the future has never been our forte, our strength lies more in fuelling our wanderlust and collecting memorable experiences. We love our independence, our freedom of expression and thrive on an ambition of pursuing many passions. How do we keep this spirit alive without letting the rigours of life weigh it down? Maybe it’s time we take a break from seizing the day and pause to look ahead.

Start by making a simple vision board and include all that you want your life to be. Do you dream of sailing across the world or sharing your ideas through your own YouTube channel? Do you see yourself travelling the entire world as a blogger or starting your own café frequented by artists and musicians? Whatever life goals you put down on your vision board can be achieved with determination, passion and a little bit of planning.

Five years ago, IDFC Mutual Fund initiated the conversation on planning in advance for what you might need in the future through the movie ‘One Idiot’. The protagonist of the movie “Bugs Uncle”, enlightened many young Indians about the importance of planning their lives and finances.

Bugs Uncle has returned to once again share his wisdom with the youth and provide a fresh perspective on life. The movie ‘Return of One Idiot’ - an Amole Gupte film and an IDFC MF initiative, shows us how, if we don’t pause for a moment and care to define our future, it’ll lead us down a road none of us wants to visit. And while it’s completely understandable something so far away is tough to think about now, it’s something we shouldn’t neglect either. Watch Bugs Bhargava give you his insights on life in the video below.

Play
Return of One Idiot - An Amole Gupte Film and an IDFC MF Initiative : An IDFC Mutual Fund Investor Awareness Initiative

To know more on how to start a habit of saving and investing, and to learn how to plan your life, join the webinar here.

This article was produced by the Scroll marketing team on behalf of IDFC Mutual Fund and not by the Scroll editorial team.