By Srishti Ojha and Trisha Dasgupta  Background There is no independent legislation for privacy laws in India. Yet there clearly does exist an express code for data protection laws. This is set out in the Information Technology Act, 2000 (“IT Act”) and particularly in the Information Technology (Reasonable Security Practices and Procedures and Sensitive Personal Data or Information) Rules 2011(“Privacy Rules”) notified under the IT Act. Popular perception may indicate a privacy code embedded in a legislation such as the IT Act is more relevant to the technology sector. This is not necessarily correct: it is critical to emphasize here that […]

In an important ruling in the case of Alchemist Asset Reconstruction Company Limited vs. M/s. Hotel Gaudavan Private Limited & others dated October 23, 2017 (Available Here), the Supreme Court of India (“Supreme Court”) has ruled that arbitration proceedings initiated after the imposition of the moratorium under Section 14 of the Insolvency and Bankruptcy Code, 2016 (“IBC”) is non est in law. Factual Matrix: 1. M/s. Hotel Gaudavan Private Limited (“Corporate Debtor”) was sanctioned a term loan of INR 24,00,00,000 (Indian Rupees Twenty Four Crore only) and a cash credit limit of INR 1,00,00,000 (Indian Rupees One Crore only) by the State Bank of India […]

The Ministry of Corporate Affairs (“MCA“) has vide its Notification dated June 14, 2017 (“Notification“) notified the provisions relating to Fast Track Corporate Insolvency Resolution Process i.e. Section 55 to 58 (both inclusive) of the Insolvency and Bankruptcy Code, 2016 (“Code“). Further, the Insolvency and Bankruptcy Board of India has issued the relevant regulations i.e. ‘Insolvency and Bankruptcy Board of India (Fast Track Insolvency Resolution Process for Corporate Persons) Regulations, 2017’ (“Regulations“), which essentially sets out the procedural aspects for carrying out such fast track process. The Regulations essentially provide for the roles and duties of the creditor (whether financial […]

By Saurabh Sharma and Harshit Dusad External Commercial Borrowings (“ECBs”) have been one of the primary instruments for Indian corporate entities, to source their financial needs. ECBs are essentially commercial loans in the form of bank loans, buyers’ credit, suppliers’ credit, etc., which is regularly availed by a resident Indian borrower from offshore / non-resident lenders. Since November 2015, India has witnessed revolutionary changes in the framework for ECBs. One such milestone step was the introduction of External Commercial Borrowings (ECB) Policy – Revised framework on 30th November 2015, and consequently a new Master Direction on External Commercial Borrowings, Trade […]

By Nikita Chawla and Aashka Shah One more step towards ease of doing business in India, is the Reserve Bank of India’s (“RBI”) circular of 21st March 2017 (“Circular”), whichallows multinational companies (“MNCs”) to access the Indian derivatives market on behalf of their Indian subsidiaries (“Subsidiaries”). The Circular provides operational flexibility to MNCs and their Subsidiaries in relation to the exposures of the Subsidiaries to currency risks arising out of current account transactions in the country. In order to promote greater cohesion with their central treasuries, representations have been made in the past to the RBI to permit MNCs to […]

By Shashank Prabhakar The Supreme Court’s decision in IDBI Trusteeship Services Limited v. Hubtown Ltd., has provided much needed relief for the foreign investor community. Whilst the decision is a landmark for laying down the law on procedure to be followed in summary suits, the court’s observation on the issues involving FEMA regulations and the FDI policy is no less important. The facts are that FMO, a foreign investor, subscribed to 10% equity and 3 Compulsory Convertible Debenture (“CCDs”) in Vinca (an Indian company) for a sum of Rs. 418 crores. The rest of Vinca’s equity was owned by Hubtown, […]

INTRODUCTION A Division bench of High Court of Delhi (“the Court”) in Ardee Infrastructure Pvt. Ltd. v. Ms. Anuradha Bhatia & Ors1 while adjudicating upon the controversy with regard to application of the Arbitration and Conciliation (Amendment) Act, 2015 (“the Amending Act”) with effect from October 23, 2015, to Arbitration and Conciliation Act, 1996 (“the Act”) held that the right to have an award enforced or not is an accrued right and ‘the amended provisions would apply, if they are merely procedural and do not affect any Accrued right(s). ISSUE(S) The Court in the captioned matter was specifically dealing with […]

Apurva Kanvinde and Abhinav Surana The Government’s attempt to replace the five decade old Companies Act, 1956 was accomplished in 2013 with the notification of the Companies Act, 2013 (“2013 Act”). The 2013 Act brought about sweeping changes in the Indian company law. It increased liabilities for directors and key managerial personnel, prescribed stricter norms for unlisted companies and introduced higher thresholds for corporate governance. One of the major changes brought about by the 2013 Act was the increase in the regulations of the unlisted companies vis-à-vis compliance with corporate governance norms. Until the 2013 Act came into force only […]

Apurva Kanvinde and Arunabh Choudhary The Securities and Exchange Board of India (“SEBI”) has on 4th January, 2016 amended the SEBI (Alternative Investment Fund) Regulations, 2012 (“AIF Regulations”) in order to boost angel fund investment in start-ups. The amendments to the AIF Regulations were approved in the SEBI Board meeting held in November, 2016. Angel funds are a sub-category of venture capital funds that raise funds to invest in start-ups. The AIF Regulations contain a separate chapter for angel funds. Due to the high risk involved, the AIF Regulations stipulate specific conditions applicable to angel funds that are not applicable […]