Query

This query is : Resolved

Pooja (Querist)
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27 November 2014 Dear Experts,

Please explain whether the old circulars notifications issued by MCA, DCA as per old companies Act 1956, are still valid or not...???
IF NOT then WHY??
IF YES then HOW, any reference?

Please clarify...

Thanks in advance...
Best Regards
Pooja

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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27 November 2014 now mca is partially and slowly relealling the old act and the ciruclar and other notification by issuing new one as it has to be in line with new co act 2013

Pooja

Pooja (Querist)
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27 November 2014 Sir,

There is one notification issued by DCA Notification no. GSR -59, dated 6-1-1959 in respect of Foreign shiping and airline companies.
but now as per section 381 of companies act 2013:-(there is a provision for clause (a))

(1) Every foreign company shall, in every calendar year,—
(a) make out a balance sheet and profit and loss account in such form, containing
such particulars and including or having annexed or attached thereto such documents
as may be prescribed; and
(b) deliver a copy of those documents to the Registrar:
Provided that the Central Government may, by notification, direct that, in the case of
any foreign company or class of foreign companies, the requirements of clause (a) shall not
apply, or shall apply subject to such exceptions and modifications as may be specified in that
notification.

Please let me know...

Thanks
Best Regards

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Asha Kanta Sharma

Asha Kanta Sharma

(Expert)
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10 August 2024 Under the transition from the Companies Act, 1956 to the Companies Act, 2013, there has been a significant overhaul in the regulatory framework governing companies in India, including those involving foreign companies.

### Validity of Old Circulars and Notifications

**Old Circulars and Notifications:**
- Circulars and notifications issued under the Companies Act, 1956, including those by the Department of Company Affairs (DCA), are generally not valid once the new Companies Act, 2013, came into effect. The Companies Act, 2013, has superseded the Companies Act, 1956, and thus, any provisions, circulars, or notifications issued under the old Act are not applicable.

### Transition to the New Act

**Transition Details:**
- **Supersession:** The Companies Act, 2013, supersedes the Companies Act, 1956, and this includes all associated rules, notifications, and circulars. This means that regulations, including those pertaining to foreign companies, issued under the 1956 Act are no longer applicable unless explicitly continued or referenced in the new Act.
- **New Regulations:** The Companies Act, 2013, introduced new regulations and provisions. Any circulars or notifications issued under the 1956 Act that are not reissued or referenced under the new Act would be considered invalid.

### Section 381 of the Companies Act, 2013

**Key Points on Foreign Companies:**
- **Section 381:** This section of the Companies Act, 2013, requires foreign companies to prepare and deliver a balance sheet and profit and loss account to the Registrar of Companies (RoC) and specifies that the Central Government may issue notifications regarding exceptions or modifications to these requirements.

**Relevant Notification:**
- **DCA Notification No. GSR-59, dated 6-1-1959:** This notification pertains to the reporting requirements for foreign shipping and airline companies under the Companies Act, 1956. As the 2013 Act has come into force, this specific notification would not apply unless explicitly adopted or referenced by the new regulations or the Central Government has issued a new notification under the 2013 Act.

### Current Valid Regulations and Notifications

**1. Companies Act, 2013:**
- **Current Rules:** The rules and notifications under the Companies Act, 2013, are the ones that apply. Any specific provisions or requirements for foreign companies are detailed in this Act and related rules.

**2. Central Government Notifications:**
- **New Notifications:** The Central Government has the authority to issue new notifications or directives under the Companies Act, 2013, that might alter or specify exceptions to the general requirements.

**3. Reference and Applicability:**
- **Review New Regulations:** To determine the current applicability, review the latest notifications issued by the Ministry of Corporate Affairs (MCA) or the Central Government that pertain to foreign companies. The MCA website and official gazettes are the primary sources for these updates.

### How to Check Validity

1. **Consult the MCA Website:** The Ministry of Corporate Affairs (MCA) website provides the latest updates, notifications, and circulars. Review the recent notifications for guidance on current requirements for foreign companies.

2. **Legal Advice:** Consider consulting with a legal professional or corporate compliance expert to ensure adherence to the current regulations and to get clarity on how old notifications might impact current practices.

### Summary

- **Old Notifications:** Generally, notifications issued under the Companies Act, 1956, including DCA Notification No. GSR-59, are not valid under the Companies Act, 2013.
- **Current Regulations:** The Companies Act, 2013, and any new notifications or rules issued under this Act are applicable.
- **Action:** Review the latest notifications and circulars from the MCA or consult with a compliance expert for up-to-date guidance.

For authoritative information, always refer to the latest regulations published by the MCA and official legal resources.