New Delhi, Aug 8 (IANS) Parliamentary approval was Thursday accorded to the new companies bill that replaces the nearly six-decade-old parent legislation with the Rajya Sabha adopting the measure. The new measure seeks to enhance compliance, transparency, encourage self-regulation and make corporate social responsibility mandatory.
With the new Companies Bill having been cleared by both houses of parliament, it will now go to President Pranab Mukherjee for his assent. The new legislation will come into effect with the relevant notification by the Corporate Affairs ministry after the presidential assent.
The lower house of parliament Lok Sabha cleared the bill Dec 18 last year.
Replying to the debate on the bill in the Rajya Sabha, the upper house of parliament, Corporate Affairs Minister Sachin Pilot said the bill seeks to bring India's corporate governance in sync with the changing business environment of the 21st century.