Section 322 of the Companies Act, 2013
Section 322 of the Companies Act, 2013 relates to the Power of the Central Government to exempt certain companies from provisions of the Act.
✅ Section 322 – Power of Central Government to Exempt Companies
Key Points:
Exemption Authority:
The Central Government may, by notification, exempt any class or classes of companies or any provisions of the Companies Act from applying to such companies or class of companies.
Conditions for Exemption:
Exemptions can be granted subject to conditions as the government thinks fit.
Purpose:
To provide relief or ease of compliance to certain categories of companies, such as small companies, startups, or other special classes.
Limitation:
Exemptions cannot be granted in cases where such exemption would be prejudicial to public interest.
Example:
Small companies or startups may be exempted from some provisions to reduce regulatory burden.
⚠️ Important Note:
Such exemptions are temporary and subject to government rules and notifications.
The Central Government can withdraw the exemption by issuing another notification.
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