Académique Documents
Professionnel Documents
Culture Documents
KPMG in India
2 June 2015
Further, the enabling provisions of Section 143(12) As per the amendment, the requirement of passing
[replaced vide this amendment] prescribes a special resolution for approving certain related
threshold (yet to be defined) beyond which fraud party transactions has been done away with. With
shall be reported to the Central Government or audit this, certain related party transactions can now be
committee/Board, as may be applicable. approved through a ‘resolution’ instead of ‘special
Companies whose auditors have reported fraud to the resolution’.
audit committee or the Board but not to the Central Further, it has also been provided that for related
Government also need to disclose details of such party transactions between a holding company and
fraud in the Board’s Report. its wholly owned subsidiary, no resolutions are
Empowered Audit Committee to give omnibus required to be passed if the accounts of the
approval for related party transactions [Section holding and subsidiary company are consolidated
177(4)] and placed before the shareholders in a general
meeting for approval.
Vide the amendment, an audit committee may give
omnibus approvals for related party transactions
subject to conditions as may be prescribed.
© 2015 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International
Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
www.kpmg.com/in
Delhi Mumbai
Ahmedabad Lodha Excelus, Apollo Mills
Commerce House V, 9th Floor, Building No.10, 8th Floor
DLF Cyber City, Phase II N. M. Joshi Marg
902 & 903, Near Vodafone House, Mahalaxmi, Mumbai 400 011
Corporate Road, Gurgaon, Haryana 122 002
Tel: +91 124 307 4000 Tel: +91 22 3989 6000
Prahlad Nagar, Fax: +91 22 3983 6000
Ahmedabad – 380 051 Fax: +91 124 254 9101
Tel: +91 79 4040 2200 Noida
Fax: +91 79 4040 2244 Hyderabad
8-2-618/2 6th Floor, Tower A
Reliance Humsafar, 4th Floor Advant Navis Business Park
Bengaluru Plot No. 07, Sector 142
Maruthi Info-Tech Centre Road No.11, Banjara Hills
Hyderabad 500 034 Noida Express Way
11-12/1, Inner Ring Road Noida 201 305
Koramangala, Bangalore 560 071 Tel: +91 40 3046 5000
Fax: +91 40 3046 5299 Tel: +91 0120 386 8000
Tel: +91 80 3980 6000 Fax: +91 0120 386 8999
Fax: +91 80 3980 6999
Kochi
Syama Business Center Pune
Chandigarh 703, Godrej Castlemaine
SCO 22-23 (Ist Floor) 3rd Floor, NH By Pass Road,
Vytilla, Kochi – 682019 Bund Garden
Sector 8C, Madhya Marg Pune 411 001
Chandigarh 160 009 Tel: +91 484 302 7000
Fax: +91 484 302 7001 Tel: +91 20 3050 4000
Tel: +91 172 393 5777/781 Fax: +91 20 3050 4010
Fax: +91 172 393 5780
Kolkata
Chennai Unit No. 603 – 604,
No.10, Mahatma Gandhi Road 6th Floor, Tower – 1,
Nungambakkam Godrej Waterside,
Chennai 600 034 Sector – V, Salt Lake,
Tel: +91 44 3914 5000 Kolkata 700 091
Fax: +91 44 3914 5999 Tel: +91 33 44034000
Fax: +91 33 44034199
© 2015 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International
Cooperative (“KPMG International”), a Swiss entity. All rights reserved.