MCA Amends Incorporation Rules Regarding One Person Companies
1 report, 1 independent
Updated Oct 6
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What happened
The Ministry of Corporate Affairs issued the Companies (Incorporation) Third Amendment Rules, 2016, which amended the Companies (Incorporation) Rules, 2014. The amendment focused on Rule 3(2) pertaining to One Person Companies (OPCs). Under the amended rules, a natural person may be a member of only one OPC and a nominee of only one OPC.
From legallyindia.com
Why it matters
The change establishes a strict limit on the involvement of a natural person in OPC structures. This differs from the draft rules released by the MCA in September 2013, which had allowed a person to be eligible to incorporate up to five OPCs or become a member in up to five OPCs.
From legallyindia.com
Who's involved
- Ministry of Corporate AffairsIndian Union Cabinet Ministry responsible for corporate filings and incorporation rules.
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The entities involved
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Ministry of Corporate Affairs
Indian Union Cabinet Ministry