By: Ramesh Vaidyanathan
One of the most applauded aspects of the new Company Law regime is the mandatory social spending requirement. Faced with innumerable economic and social challenges as our country is, our lawmakers could not have ushered in a more revolutionary change through the new law.
The new Companies Act, 2013, has made it mandatory for companies to be socially responsible by introducing the ‘corporate social responsibility’ (CSR) regime. Section 135 of the new Companies Act, read with the CSR Rules, mandates companies meeting certain criteria to set aside two per cent of their net profits for undertaking and promoting socially beneficial activities and projects in India. The Ministry of Corporate Affairs (MCA) recently issued the CSR Rules, 2014, to implement this legislative mandate, which comes into effect on April 1, 2014.
By: Meenakshi Iyer
In an important judgment, the Supreme Court has held that in the case of arbitrations covered by Part II of the Arbitration & Conciliation Act, 1996 (“the Act”), i.e., international arbitration, the Court cannot decline to make a reference of the dispute to arbitration on the ground that allegations of fraud or misrepresentation have to be inquired into while deciding the dispute between the parties. Accordingly, the Supreme Court has directed that the dispute between World Sport Group (Mauritius) Limited (“WSG”) and MSM Satellite (Singapore) Pte Limited (“MSM”) in respect of grant of media rights is required to be decided by arbitration under the auspices of the International Chamber of Commerce (“ICC”), at Singapore. The law prior to this was that where the disputes between the parties involved allegations of fraud as well, such disputes were not arbitrable under Indian Law (N. Radhakrishnan v. Maestro Engineers & Ors) . The Supreme Court by clarifying this has made it easier for foreign parties arbitrating against Indian counter parties outside India.
By: Laxmi Joshi
Infrastructure development is largely dependent on acquisition of land. The cost of land acquisition forms a significant portion of the project cost and it often impacts the project timelines. According to the report of Ministry of Statistics and Programme Implementation as on December 01, 2012, about 270 central sector infrastructure projects are delayed and one of the reasons for such delay was the failure of the State to acquire land in time and hand over site for construction.
The Land Acquisition Act, 1894 (the “Act”) currently sets out the framework for the government to acquire land from private landholders for public purpose projects by