Volume : 5, Issue : 1, January - 2016

COMPANIES ACT 2013: GREATER EMPHASIS ON CORPORATE GOVERNANCE

Prinsha K.

Abstract :

<p>Countries like India needs to formulate a better governance framework to counter the current globalised & growing market’s challenges, difficulties and increasing responsibilities/ duties for the investor, stakeholder & society and last but not the least the economic development with rapidly changed environment. Here with an effective Governance of the companies shows the board of management, director’s area of thrust and responsibility towards the organisation. Company Act, 2013 is a initiation of better governance and positive atmosphere in Indian business environment which introduced various rules, regulation and provisions like improve governance norms, enhance self–regulation, enhance the corporate and auditor’s accountability, increasing the levels of transparency and protect interests of small investors. In line with international standard the Company Act, 2013 is a good legislative attempt by the government. This paper is focused on the key changes and analysis of the role of Director/ Independent Director by comparing the two major companies act i.e. Companies Act 1956 & the recently introduced Companies Act 2013</p>