1. Monetary Penalties and Fines Non-compliance with SEBI regulations, especially Listing Obligations and Disclosure Requirements (LODR), can attract heavy monetary penalties. Fines may vary based on the nature and gravity of the violation, and can range from ₹1 lakh...

1. General Rule under Companies Act, 2013 As per Section 47 of the Companies Act, 2013, preference shareholders generally do not have voting rights, except in limited circumstances. This distinguishes them from equity shareholders, who enjoy full voting rights on all...

1. Remedies under the Companies Act, 2013 The Companies Act, 2013 provides a strong framework to address and penalize fraud in Public Limited Companies: Section 447: Defines fraud and prescribes rigorous imprisonment (up to 10 years) and fine (up to 3 times the amount...

1. Understanding Dormant Status under the Companies Act, 2013 A dormant company is one that has been inactive or not carrying on significant business or operations for the last two years. Companies may apply for this status voluntarily or be marked dormant by the...

1. Yes, But with Limitations A Public Limited Company can hold physical shares of other companies, especially unlisted or private companies whose shares are not dematerialized. However, for listed companies, shares must be held in dematerialized form, as per SEBI...

1. Statutory Filings and Compliance Reporting The Ministry of Corporate Affairs (MCA) monitors Public Limited Companies through mandatory electronic filings under the Companies Act, 2013. Companies must regularly file: AOC-4 (financial statements) MGT-7 (annual...

1. Applicability under Prevention of Money Laundering Act (PMLA), 2002 Public Companies engaged in certain regulated financial activities, such as stock broking, fund management, real estate, or securities trading, are subject to the Prevention of Money Laundering Act...

1. Internal Grievance Redressal Mechanism Large Public Limited Companies typically have a dedicated Investor Grievance Cell or Shareholder Service Department. Grievances related to dividends, share transfers, dematerialization, non-receipt of annual reports, or...

1. Definition of ESG ESG stands for Environmental, Social, and Governance—three key criteria used to evaluate a company’s impact beyond financial performance. It reflects how a company manages environmental risks, treats its workforce and stakeholders, and upholds...

1. Identify the Required e-Forms Public Limited Companies are required to file various e-Forms with the Ministry of Corporate Affairs (MCA) for statutory compliance. Common e-Forms include: INC-22 (change of registered office) MGT-7 (annual return) AOC-4 (financial...