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MCA Circulars

Unpaid and unclaimed amounts lying with companies - eForm 5INV

Investor Education and Protection Fund (Uploading of information regarding unpaid and unclaimed amounts lying with companies) Rules, 2012, has mandated every company to file eForm 5INV containing the information of unclaimed and unpaid amounts as referred to in sub- section (2) of section 205C of the Companies Act, 1956.  This information is required to be filed every year within a period of 90 days after the holding of Annual Genera l Meeting or the date on which it should have been held as per the provisions of section 166 of the Act, and every year thereafter till completion of the seven years’ period.



The information is to be filed in eForm 5- INV as per the above mentioned rules; and thereafter an excel sheet containing detailed investor wise details is to be filed separately.



The eForm, the excel template and detailed steps are provided in the IEPF application link on the portal www.iepf.gov.in


MCA Clarification under Section 372A(3) of the Companies Act, 1956

The Ministry of Corporate Affairs (MCA) vide its General Circular No. 06 /2013 dated 14.03.2013 has provided a clarification under Section 372A (3) of the Companies Act, 1956, which says that in such cases where the effective yield (effective rate of return) on tax free bonds is greater than the yield on prevailing bank rate, there is no violation of Section 372A(3) of Companies Act, 1956.

It is observed from the Budget 2013-14 authorizes Union Govt to raise Rs. 50,000  crores (Tax Free Bonds). These bonds carry a lower rate of interest, currently in the range of 6.75% to 7.50% which is tax free under Section  10(15)  (iv)(h) of the income Tax Act, 1961. Such bonds were also provided for in Budget 2012-13, but the response had been poor due to restrictions under Section 372A(3) of the Companies Act, 1956.

 2.     Ministry of Finance had drawn the attention of this Ministry to Section 372A (3) of the Companies Act with a view to effectively implement the announcement made in the Budget. Section 372A (3) of the Act inter-alia provides that “”No loan to any body corporate shall be made at a rate of interest lower than the prevailing bank rate, being standard rate made public under section 49 of the Reserve Bank of India Act, 1934 (2 of 1934)”.

3. It is hereby clarified that in cases where the effective yield (effective rate of return) on tax free bonds is greater than the yield on prevailing bank rate, there is no violation of Section 372A(3) of Companies Act, 1956.

4.  This circular is effective from the date of issue.

5. This issues with the approval of Hon’ble Corporate Affairs Minister.


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MCA Circulars – Dec 2012


MCA Circulars:

1. Extension of date in filing the Cost Audit. Company Report in the XBRL format:


Circular No : 43/2012 dated Dec 26, 2012

Crux of the Circular:

As per this circular all the Companies / Cost Auditors are allowed to file the Cost Audit Reports and Compliance Reports for the year 2011-12 [including the overdue reports relating to any previous year(s)] with the Central Government in the XBRL mode, without any penalty, within 180 days from the close of the company’s financial year to which the report relates or by January 31, 2013, whichever is later.


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2. Filing of Form 68 for rectification of mistakes in Form 1, Form 1A and Form 44:

Circular No : 42/2012 dated Dec 21, 2012


The Companies are allowed to rectify the mistakes made in Form 1, Form 1A and Form 44 filed in electronic form by filing Form 68 with the respective fee as follows:

Fee details to be filed along with Form 68:

For Form 1 and 1A : Rs. 1000
For Form 44: Rs. 10000

Form 68 has to be filed with 365 days from the date of approval of the aforesaid forms by the Registrar concerned.

In this regard the first Form 68 can be filed within 180 days from the effective date of this circular ie. Dec 23, 2012


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