A primer on e-commerce business and related laws in India
While E-commerce has touched all forms of business transactions at present, E-wallets or mobile wallets are slowly taking over the traditional system of payments. Article in this issue of Amicus discusses at length various categories of pre-paid payment instruments, and laws applicable to electronic payments in India. Further highlighting important provisions in Payment and Settlement Systems Act, 2007, Payment and Settlement Systems Regulations, 2008 and RBI guidelines, the article deliberates upon latest FDI consolidated Circular and various entry routes for investment in India.
Notifications & Circulars
- Enforcement of Security Interest and Recovery of Debts Laws and Miscellaneous Provisions (Amendment) Act, 2016 - District Magistrate to assist banks in taking over management of a company by converting their outstanding debt into equity shares.
- Appointment of Managing or whole-time Director - Amendment in Schedule V of the Companies Act enhances limit of statutory yearly remuneration payable by companies having no profit or inadequate profits, without Central Government’s prior approval.
- Companies (Mediation and Conciliation) Rules, 2016 notified - Mediators and conciliators are required to complete the process of mediation and conciliation within 3 months.
- Restrictions placed on promoters and whole-time Directors of compulsorily delisted companies pending fulfillment of exit offers to shareholders.
- Recovery of arrears when company is no more a sick company - Once net-worth of company turns positive, Income Tax department has the right to recover the arrears - Supreme Court