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Lok Sabha passes revised Companies Bill, to improve governance and transparency in India Inc

The Lok Sabha today passed the Companies Bill, with the government saying the aim is to protect interest of employees and small investors while encouraging firms to undertake social welfare voluntarily.
New Delhi:

The Lok Sabha today passed the revised Companies Bill, which had been hanging fire since it was first introduced in the House in August 2008.

During the debate over the Bill in the Lower House today, the government re-emphasised that the aim is to protect the interest of employees and small investors, besides encouraging companies to undertake social welfare of their own will.

Corporate Affairs Minister Sachin Pilot said special courts would be set up for speedy trials, a move that comes as an assurance to investors that cases related to their disputes with firms will not linger on.

Underlining the need for such a law, Mr. Pilot said India is now the first country to mandate corporate social responsibility (CSR) through a statutory provision.

The Union Cabinet had cleared the Bill in October, saying it would serve the interests of “corporates, investors and other stakeholders” better.

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