Corporate Laws (Amendment) Bill referred to JPC

The Bill aims to amend the Limited Liability Partnership Act, 2008 and the Companies Act, 2013.

Earlier, before its introduction, the Opposition members, including Congress MP Manish Tewari, Sougata Ray of TMC and T Sumathy of DMK, opposed the introduction of the Bill. They alleged that the proposed legislation dilutes the provisions of Corporate Social Responsibility.

Responding to their concerns, Sitharaman said that the proposed amendment will not only attract more investments but also facilitate corporate governance.

She highlighted that this legislation has been brought after two years of full deliberation. The Finance Minister said the opinion of the representatives from industry chambers, professional institutes, legal and accounting experts and the public was taken and examined.

Tewari also said since a Parliamentary Standing Committee on Corporate Affairs is already in place, the Bill should be sent to that panel rather than constituting a new JPC.

Home Minister Amit Shah, making an intervention, said none of the opposition members talked about referring the legislation to a Parliamentary Committee, and now, when the FM has herself sought it, they were arguing as to which panel the Bill should be sent.