Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: ARTICLES ON INPUT TAX CREDIT IN VAT :: ACCOUNTING STANDARD :: ACCOUNTING STANDARDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: TDS :: VAT Audit :: cpt :: list of goods taxed at 4% :: articles on VAT and GST in India :: empanelment :: TAX RATES - GOODS TAXABLE @ 4% :: due date for vat payment :: form 3cd :: VAT RATES :: Central Excise rule to resale the machines to a new company
 
 
« Mergers and Acquisitions »
 Merger control regime: CCI sharing concerns at early stages would reduce trust deficit
  Deals of the day-Mergers and acquisitions
 Oil companies’ mergers: Indian Oil Corporation chairman B Ashok says ‘Worthwhile to look at the possibilities
 It's complicated: Regulatory hurdles that Vodafone-Idea merger could face
 China FX head Pan Gongsheng says overseas mergers and acquisitions like ‘a rose with thorns’
 Technology drove Michigan's mergers and acquisitions in 2016
  Pharmaceutical Mergers And Acquisitions – M&A In The Biopharmaceutical Industry And The Impact On Innovation
 Road ahead for Indian M&A seems brightly lit: PwC report
 Fed eases bank merger rules by lifting size threshold for review
 Deals of the day-Mergers and acquisitions
 Foreign investors may take a refreshed stance on India investments after election results

Small mergers, acquisitions may not need court nod
August, 19th 2009

Soon companies entering into small mergers and acquisitions (M&As) without any competition issues such as abuse of dominant position and creation of a monopoly or shareholder dissent, may not have to go through the tedious process of approval from the High Courts.

The Government is mulling establishing an independent authority that would act as a single-window clearance mechanism and replace the High Courts for such M&As.

While a simple merger takes three-five months to get High Court approval, difficult ones take a year or more. The proposed authority is to reduce the time period and procedures involved, official sources told Business Line.

However, the Competition Commission of India (CCI) will have the final say in M&As that are anti-competitive in nature and the Government is evolving an inter-regulator dynamic interactive system to enable the CCI consult with other regulators.

But the new independent body similar to the Foreign Investment Promotion Board will give the final clearance on all other matters, sources said. The new body will have representation from Ministries, stakeholders and sectoral regulators. Minor mergers will come up before the High Court only if there is any shareholder objection.

However, there are a few riders for clearance from the new body. Noting that several mergers happen between a profit-making subsidiary and a loss-making unit of the same company for the sake of tax benefits, the Government has proposed a two-step approval process.

Following the provisional approval, the new Board will monitor the performance of the merged entity to ensure that it is generating additional economic activity and not indulging in illegal acts. The final approval will be on the condition that the new entity is not just a tax-avoidance instrument.

However, some legal experts such as Mr Hemant Sahai, Managing Partner, Hemant Sahai Associates, disagreed saying that according to the Constitution certain functions of the Judiciary cannot be taken over by the Executive.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Software Reengineering Software Re-engineering Software Reverse Engineering Software Reverse Development Software Change Modulation Software Conversion Software Re-creation Software Re-development

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions