Companies Bill ready, says Deora

The Ministry of Corporate Affairs said on Monday the final draft of the new Companies Bill, which promises greater shareholder democracy and stricter corporate governance norms, is ready and will be submitted to the Cabinet soon.

"The final draft of the Companies Bill is ready.

"It has been circulated among various ministries for their comments, as soon as we receive their comments, the Bill will go to Cabinet," Corporate Affairs Minister Murli Deora told reporters on the sidelines of a Company Law Board event in New Delhi.

The Companies Bill 2009, which will replace a half-a-century old Act, is expected to be brought before Parliament for consideration and passage in the ongoing Budget session.

Asked if the contentious issue of mandatory corporate social responsibility for companies has been addressed and how, the minister declined to comment.

Last week, the MCA had held the final consultation with the industry, which had raised 10 areas that needed a relook.

Some key issues pertained to the provisions that seek to limit the number of subsidiaries a company have, earmarking 2 per cent of a company's net profit for CSR activities, managerial remuneration and rotation of auditors, besides others, as proposed