Appointment and Remuneration of Managerial Personnel Amendment Rules 2020

Companies (Appointment and Remuneration of Managerial Personnel) Amendment Rules, 2020.

They shall be applicable in respect of financial years commencing on or after
1″t April, 2020.

2. ln the Companies (Appointment and Remuneration of Managerial Personnel)
Rules, 2O14 (herein after referred to as said rules), for rule 8A, the following shall be
substituted as under:-
“8A. Every private company which has a paid up share capital of ten crore rupees or
more shall have a whole -time company secretary.”.
3. In the said rulcs, in rule 9 of the said rules, in sub-rule (1),
(i) after clause (b), at the end the word “or” shall be inserted.
(ii) aftcr clause (b), the following clause shall be inserted, namely:-
“(c) every company having outstanding loans or borrowings from banks or public
financial institutions of one hundred crore rupees or more.”.
(iii) the following trxplanation shall be inserted, namely:-
“Explanation :- For the purposes of this sub-rule, it is hereby clarified that the paid
up share capital, turnover, or outstanding loans or borrowings as the case may be,
existing on the last date of latest audited financial statement shall be taken into
account.”.