IBBI Issues Guidelines for Appointment of IRPs
The Insolvency and Bankruptcy Board of India has issued guidelines on May 31, 2018 regarding the appointment of Insolvency Resolution Professionals (“IRPs”). These guidelines, effective July 01, 2018, have constituted an area-wise panel of IRPs to ensure that the IBBI tribunal has a ready database of IRPs available to it at all points of time. Each such panel will be valid for a period of 6 months, following which it will be reconstituted.
MCA Provides Clarification on CSR
The Ministry of Corporate Affairs via a General Circular dated May 28, 2018 has reiterated that local areas around companies are to be treated preferentially when it comes to the company’s Corporate Social Responsibility (“CSR”) obligations. The General Circular is in consonance with the first proviso to Section 135(5) of the Companies Act 2013, reiterating that the local areas around which a company operates will be given preference when spending the amount earmarked for CSR activities, and that this rule will be enforced in letter and in spirit.
UIDAI Limits Digital Payment Companies’ Access to Aadhaar Data
The Unique Identification Authority of India (“UIDAI”), in an attempt to ensure data security, has segregated the Authentication User Agencies (“AUA”) registered under the Aadhaar Act into two categories – local AUAs (such as payment companies), which have limited access to information, and global AUAs (such as banks), which have access to the complete set of information in the repository. UIDAI has explained this move by citing concerns over the security systems of digital payment companies.