Introduction

Edition 36/20-21

Week – March 22nd to March 26th 

Quote for the week:

“The best decisions aren’t made with your mind but with your instincts.”  

  - Lionel Messi

We welcome you to our weekly newsletter!

The ‘Swift e-Bulletin’ - weekly newsletter, covers all regulatory updates and critical judgements passed during the week. We hope that you liked our previous editions and found it to be of great value in its content. We want this newsletter to be valuable for you so, please share your feedback and suggestions to help us improve.

In the wake of COVID-19, the various regulatory authorities have been granting many relaxations, exemptions and amendments to the various legislations by regulatory authorities to ease out the operations during this time of crisis.

Further, various regulatory authorities have been proactive in bringing significant regulatory changes in recent challenging times. This week’s newsletter covers various Circulars/notifications issued by certain regulatory authorities such as the Ministry of Corporate Affairs (‘’MCA’’), the Securities and Exchange Board of India (“SEBI”) and critical judgements and orders passed by the National Company Law Tribunal (“NCLT”), SEBI, Supreme Court and High Court.   

We have prepared a comprehensive summary for quick reference of the aforesaid updates and Judgements / orders issued during the week of March 22, 2021 to March 26, 2021.

Thank you,

Swift Team

Table of Contents                               

REGULATORY UPDATES

MCA UPDATES

1. MCA notifies commencement of certain sections of the Companies (Amendment) Act, 2020 (No, 29 of 2020) vide Gazette Notification dated March 24, 2021.
2. MCA amends Companies (Audit and Auditors) Rules, 2014 in relation to disclosures vide Gazette Notification dated March 24, 2021.
3. MCA amends Companies (Accounts) Rules, 2014 in relation to Books of accounts maintained in electronic format vide Gazette Notification dated March 24, 2021.
4. MCA Amends Schedule III of the Companies Act pertaining to general instructions for preparation of Balance sheet and Profit and Loss Account vide Notification dated March 24, 2021.

SEBI UPDATES

1. SEBI issues detailed guidelines on Business Continuity Plan (“BCP”) and Disaster Recovery (“DR”) of Market Infrastructure Institutions (“MIIs”) vide Circular dated March 22, 2021.
2. SEBI issues clarification on the valuation of bonds issued under Basel III framework vide Circular dated March 22, 2021.
3. SEBI reviews delivery default norms vide Circular dated March 23, 2021.
4. SEBI issues clarification on transfer of shareholdings among immediate relatives and transmission of shareholdings and their effect on change in control vide Circular dated March 25, 2021. 
5. SEBI takes decisions at its Board meeting on various amendments in multiple regulations vide Circular dated March 25, 2021. 
6. SEBI issues clarification on transfer of business by SEBI registered intermediaries to other legal entity vide Circular dated March 26, 2021. 

JUDGEMENTS/ ORDERS

NCLT

1. National Company Law Tribunal allows the Restoration of M/s. Ramesh Real Estate Builders & Developers Private Limited
2. Order in the matter of complaint of Mr. Manoj Dharamdas Shah against Eicher Motors Limited

HIGH COURT

1. Dr. Reddy’s Laboratories Limited application seeking urgent interlocutory injunction to restrain the release of a feature film “Haathi Mere Saathi”, alleging that the movie disparages its registered trademark/brand ‘DRL’ was dismissed on the ground being completely devoid of merits
2. Ad interim relief sought in its prayer by Indiabulls Housing Finance Limited for the application filed under Section 9 of the Arbitration & Conciliation Act, 1996 was rejected
3. The Court found no merit in the Writ petition filed by DSPC Engineering Private Limited, and dismissed the case with costs of INR 5,00,000/- to be paid to the respondent and further directed the Competent Authority to undertake an enquiry into the aspect whether the petitioner company itself qualifies as “Bidder from a country which shares land border with India” in terms of Clause 8 of the said Public Procurement Order No.1 dated July 23, 2020

SUPREME COURT

1. The Supreme Court held that, by the order of the High Court appointing an arbitrator under Section 11(6) of Arbitration and Conciliation Act 1996 (“Act”) was unsustainable with regards to Power Purchase Agreement entered into between M P Power Trading Co Limited and Narmada Equipments Private Limited