Section 379, 392, 393A, 403, 405, 410 of Companies Amendment Act 2020

Amendment to Section 379

In section 379 of the principal Act, in sub-section (1), the proviso shall be omitted.

Amendment to Section 392

In section 392 of the principal Act,-

(a) the words "with imprisonment for a term which may extend to six months or" shall be omitted;

(b) for the words "five lakh rupees, or with both", the words "five lakh rupees"
shall be substituted.

Insertion of Section 393A

After section 393 of the principal Act, the following section shall be inserted, namely:-

"393A. The Central Government may, by notification, exempt any class of-

(a) foreign companies;

(b) companies incorporated or to be incorporated outside India, whether the company has or has not established, or when formed may or may not establish, a place of business in India, as may be specified in the notification, from any of the provisions of this Chapter and a copy of every such notification shall, as soon as may be after it is made, be laid before both Houses of Parliament."

Amendment to Section 403

In section 403 of the principal Act, in sub-section (1), for the third proviso, the following proviso shall be substituted, namely:-

"Provided also that where there is default on two or more occasions in submitting, filing, registering or recording of such document, fact or information, as may be prescribed, it may, without prejudice to any other legal action or liability under this Act, be submitted, filed, registered or recorded, as the case may be, on payment of such higher additional fee, as may be prescribed."

Amendment to Section 405

In section 405 of the principal Act, for sub-section (4), the following sub-section shall be substituted, namely:-

"(4) If any company fails to comply with an order made under sub-section (1) or sub-section (3), or furnishes any information or statistics which is incorrect or incomplete in any material respect, the company and every officer of the company who is in default shall be liable to a penalty of twenty thousand rupees and in case of continuing failure, with a further penalty of one thousand rupees for each day after the first during which such failure continues, subject to a maximum of three lakh rupees."

Amendment to Section 410

In section 410 of the principal Act,-

(i) in the opening portion, the words "not exceeding eleven" shall be omitted;

(ii) in clause (b), for the word, figures and letter "section 53N", the word, figures and letter "section 53A" shall be substituted.