54th Annual Report

On the Working and Administration

of the Companies Act, 1956
Year Ended March 31, 2010

MINISTRY OF CORPORATE AFFAIRS

GOVERNMENT OF INDIA
NEW DELHI
 The Report has been prepared in pursuance of Section 638 of the Companies Act, 1956,
which lays down that the Central Government shall cause a general Annual Report on the
Working and Administration of the Act to be prepared and laid before both Houses of Parliament
within one year of the close of the year to which the Report relates. It covers the period from
April 1, 2009 to March 31, 2010.

New Delhi
 CONTENTS

CHAPTER PAGE No.

CHAPTER I 1 - 14
General Review

CHAPTER II 15 - 25
Review of Corporate Sector

CHAPTER III 26 - 39
Applications and Documents received under different
Sections of the Companies Act, 1956

CHAPTER IV 40 - 41
Corporate Management

CHAPTER V 42 - 55
Inspections, Investigations, Prosecutions, Oppression & Mismanagement,
Cost Audit, Investors Education and Protection Fund,
Investor Protection and Vanishing Companies

CHAPTER VI 56
Liquidation of Companies

CHAPTER VII 57 - 69
Mobilization of Funds by the Corporate Sector

CHAPTER VIII 70
Financial Aggregates of Corporate Sector

APPENDIX: 73 - 96
STATISTICAL STATEMENTS (I TO XXIV)
 CHAPTER - I
General Review
Ministry of Corporate Affairs
The Report relates to the 54th year of
the Working & Administration of the Companies
Act, 1956, namely, the financial year ending 31st
March, 2010.
Introduction
1.1 The Ministry of Corporate Affairs
administers several statutes relating to the
corporate sector including The Companies Act,
1956. Beside, it also administers the following
Acts:
i) The Chartered Accountants Act,
1949
ii) The Cost and Works Accountants
Act, 1959
iii) The Company Secretaries Act,
1980
iv) The Partnership Act, 1932
v) The Societies Registration Act,
1860
vi) The Companies (Donation to
National Fund) Act, 1951
vii) The Monopolies and Restrictive
Trade Practices (MRTP) Act, 1969
(repealed w.e.f. 1st September,
2009)
viii) The Competition Act, 2002
as amended by Competition
(Amendment) Act, 2009
ix) Limited Liability Partnership (LLP)
Act, 2008.
Organisational set-up
1.2.1 The Ministry has a three tier organisational
set-up for administration of the Companies Act,
1956 namely, the Secretariat at New Delhi, the
1
Regional Directors at Mumbai, Kolkata, Chennai,
Noida (U.P.), Ahmedabad and Guwahati (Assam)
and the Registrars of Companies in States and
Union Territories and 20 offices of Registrars of
Companies (ROCs) in States and Union Territories.
19 offices of the Official Liquidators who are
attached to various High Courts functioning in the
country are also under the overall administrative
control of the Ministry. A brief description of
the above offices/establishments is given in the
following paragraphs.
A. Headquarters
1.2.2 The set-up at the Headquarters includes
Secretary, one Special Secretary, three Joint
Secretaries, an Economic Adviser, one Cost
Adviser, two Directors of Inspection and
Investigation and other officials providing
expertise on legal, accounting, economic and
statistical matters.
B. Regional Directors
1.2.3 The Six Regional Directors are in-charge
of the respective regions, each region comprising
a number of States and Union Territories. They
supervise the working of the offices of the
Registrars of Companies and the Official
Liquidators working in their regions. They also
maintain liaison between the respective State
Governments and the Central Government in
matters relating to the administration of the
Companies Act, 1956. Certain powers of the
Central Government under the Companies Act
have been delegated to the Regional Directors.
They have also been declared as Heads of
Department. There is an Inspection Unit attached
to the office of every Regional Director for
carrying out the inspection of the books of
accounts of companies under Section 209A of the
Companies Act, 1956.
C. Registrars of Companies
1.2.4 Registrars of Companies (ROCs)
appointed under Section 609 of the Companies
Act, 1956 covering various States and Union
Territories are vested with the primary duty of
registering companies floated in the respective
States and the Union Territories and ensuring
that such companies comply with statutory
requirements under the Act. These offices function
as registry of records, relating to the companies
registered with them, which are available for
inspection by members of the public on payment
of the prescribed fee. The Central Government
exercises administrative control over these offices
through the respective Regional Directors.
D. Official Liquidators
1.2.5 The Official Liquidators are officers
appointed by the Central Government under
Section 448 of the Companies Act, 1956 and are
attached to various jurisdictional High Courts. The
Official Liquidators are under the administrative
charge of the respective Regional Directors,
who supervise their functioning on behalf of
the Central Government. In the conduct of
winding-up of affairs of the companies, however,
Official Liquidators act under the directions and
supervision of the High Courts. At the same time,
the Central Government have the responsibility
under Section 463 of the Companies Act, 1956
of exercising overall control over the Official
Liquidators to ensure that they faithfully perform
their duties and duly observe all the requirements
imposed on them under the Act or the Rules
there-under.
1.2.6 The duties and powers of the Official
Liquidator as laid down in section 457 of the
Companies Act, 1956 are mainly of, filing of
claims against the debtors for realization of
the debts due to the company, sale of movable
and immovable assets of the company taken
possession by the Official Liquidator,
instituting criminal complaints and misfeasance
proceedings against the former Directors of the
company for their acts and omissions and breach
2
of trust, invitation of claims from the creditors,
adjudication of claims and settlement of list
of creditors, payment to creditors by way of
dividend and settlement of list of contributories
wherever necessary and payment of return of
capital where the companys assets exceeded its
liability and finally dissolve the company under
section 481 of the Companies Act,1956.
Company Law Board
1.3.1 Company Law Board is an independent,
quasi-judicial body created under the Act of
Parliament and derives its power under Section
10E of the Companies Act, 1956. Its become
functional on 31.5.1991. The Company Law
Board has framed its own Regulations i.e. the
Company Law Board, 1991 which prescribe the
procedure for filing applications/petitions before
it. To smoothen the function of Company Law
Board, the Central Government has also prescribed
fees for making applications/petitions before the
Company Law Board under the Company Law
Board (Fees on applications and Petitions) Rules
1991.
1.3.2 The Board has its Principal Bench at New
Delhi and has Regional Benches at New Delhi,
Mumbai, Kolkata and Chennai. From 1st April,
2008 onward the matters falling under section
247, 250, 269, and 388B of the Companies Act,
1956 and under section 2A of the Monopolies
and Restrictive Trade Practices Act, 1969 (54 of
1969) are being dealt with by the Principal Bench
consisting of one or more Member. Henceforth
in view of the fact the repeal of MRTP Act w.e.f.
01.09.2009 which has been notified on 28.08.2009,
Company Law Board will no more deal with the
same. All other sections of the Act i.e. 17, 18, 19,
58A, 58AA, 79/80A, 111/111A, 113/113(3), 117,
117C, 118, 141, 144, 163, 167, 186, 196, 219, 235,
237(b), 284, 304, 307, 397/398, 408, 409, 614,
and 621A of the Companies Act, 1956 and Section
45QA of the Reserve Bank of India Act, 1934 are
dealt with by Regional Benches namely New
Delhi Bench, Chennai Bench, Kolkatta Bench
and Mumbai Bench consisting of one or more
Members. In case the company fails to comply
with the directions contained in the Orders so
passed by the Company Law Board, application
under section 634A of the Companies Act, 1956
for enforcing the orders are entertained.
1.3.3 During 01.04.2009 to 31.03.2010, 2538
applications were considered u/s 58A (9) of the
Companies Act, 1956 and 45QA of the RBI Act,
1934 of which 566 were disposed of. Under other
Sections of the Companies Act, 1956, 13568
petitions were considered out of which 10991
petitions were disposed of during this period.
This includes 2030 cases compounded under
section 621A of the Companies Act, 1956.
1.3.4 Shri S. Balasubramanian who was
Chairman of Company Law Board super-
annuated on 02.11.2009. Honble Justice
(Retd.) Dilip Raosaheb Deshmukh a retired
judge of Chhattisgarh High Court assumed
charge as Chairman of Company Law Board on
27.11.2009. Sh. K.K.Balu, Vice-Chairman, CLB
superannuated on 14.09.2009.
1.3.5 As against the sanctioned strength
of 9 Members (including Chairman and
Vice-Chairman) the constitution of the Company
Law Board as on 31st March, 2010, is as
follows:-
1. Justice (Retd.) Dilip Raosaheb
Deshmukh, Chairman
2. Smt. Vimla Yadav, Member
(Technical)
3. Shri Kanthi Narahari, Member
(Judicial)
4. Shri R.Vasudeven, Member
(Technical) (under suspension)
5. Smt. Lizamma Augustine, Member
(Judicial)
6. Sh. B.S.V. Prakash Kumar, Member
(Judicial)
1.3.6 Taking into consideration the hardships
being faced by the small and needy depositors
who have deposited the amount in fixed deposits
with the companies which are not refunding
3
the same as per the promise given by them at
the time of taking the said amount in deposits,
the Company Law Board have appointed 19
Hardship Committees under the Chairmanship of
Secretary, CLB to consider and place before the
Company Law Board the grievances and priority
for payment of the fixed deposit amount on pro-
rata basis.
1.3.7 Presently, every month a Hardship
Committee meeting are held in CLB, New Delhi
as per Company Law Boards order for refund
of deposit on hardship grounds in respect of 19
companies. The cheques/drafts for refunds are
distributed by CLB on receiving the same from
the companies in respect of the cases received by
CLB. There are lots of improvements in terms of
redressal of grievances of the small and needy
depositors. Up to 31st March, 2010, a sum of
Rs.6.35 crores (approx.) has been disbursed
to 2941 depositors. Thus, 100% redressals of
complaints received by CLB on hardship grounds
are ensured.
1.3.8 Payment to fixed deposit holders of
M/s. Pure Drinks (New Delhi) Ltd., is being made
by Company Law Board in compliance with the
order passed by Honble High Court of Punjab &
Haryana. Till 31st March, 2010, 11634 cheques
have been issued to the depositors of Pure Drinks
(New Delhi) Ltd. for an amount of Rs. 5.34
crore (approx). In all cases of payments for both
Principal and Interest, cheques are issued under
the signature of the Secretary, CLB, New Delhi.
1.3.9 The total filing fees received by the
CLB during 01.04.2009 to 31.03.2010 is
Rs. 57,97,563/- and compounding amount
realized during the same period is
Rs. 1,99,98,566/-.
1.3.10 The details of petitions/applications
received and disposed of by all the Regional
Benches including the Principal Bench and
Additional Principal Bench during the period
from 1.04.2009 to 31.03.2010 is given in
Table 1.1.
 Table 1.1
Consolidated Statement of Petitions/ Applications received, disposed of and
pending during the period from 1.4.2009 to 31.3.2010
Composition of Bench Opening Received Total Disposed of Pending
& Section Balance as on during the (Col. 2 & 3) during the as on
1.4.2009 year year 31.3.2010
(1) (2) (3) (4) (5) (6)
Single Member Bench
Sec. 17 91 1083 1174 1047 127
Sec. 18/19 6 45 51 41 10
Sec. 45QA of RBI Act. 81 4 85 56 29
Sec. 58A(9) 869 1584 2453 510 1943
Sec. 58AA(1) 13 0 13 5 8
Sec. 79/80A 6 2 8 4 4
Sec. 113/113(3) 5 25 30 21 9
Sec. 117 0 0 0 0 0
Sec. 117 C 179 3 182 1 181
Sec. 118 0 0 0 0 0
Sec. 141 82 6645 6727 6569 158
Sec. 144 0 0 0 0 0
Misc. Applications 57 338 395 324 71
Sec. 163 3 6 9 1 8
Sec. 167 12 4 16 4 12
Sec. 186 5 6 11 4 7
Sec. 196 0 3 3 0 3
Sec. 219 0 2 2 0 2
Sec. 284 7 10 17 6 11
Sec. 304 0 0 0 0 0
Sec. 307 0 0 0 0 0
Sec. 614 1 3 4 1 3
Sec. 621A 505 2334 2839 2030 809
Total (a) 1922 12097 14019 10624 3395
Double Member Bench
Sec. 111 174 70 244 47 197
Sec. 634 A 1 3 4 2 2
Total (b) 175 73 248 49 199
Total (a+b) 2097 12170 14267 10673 3594
Principal Bench and Additional Principal Bench
Cases u/s. 235, 237(b), 247,250, 773 1066 1839 884 955
288(4), 388B, 397/398, 408, 409
and Interlocutory Applications.
Grand Total 2870 13236 16106 11557 4549

4
Petitions/Applications considered and disposed of by the Company Law Board
during the period from 1.4.2009 to 31.3.2010

Single Member Bench

Double Member Bench

Principal Bench and Additional Principal Bench

5
E-Governance in Company Law
Administration
1.4.1 With a view to enhance efficiency
in delivery of services and move towards
electronic corporate governance, the Ministry of
Corporate Affairs has implemented the MCA21
e-Governance Project. It is a holistic initiative
offering 100 plus MCA services through a single
portal. All registry related services, such as Name
Availability, Incorporation of company, Filing
of all annual statutory returns, Registration,
modification and satisfaction of charges,
Statutory filings related to all events as stipulated
in the Companies Act (with the exception of
matters related to liquidation), Inspection of
documents, Issue of certified copies, Approvals
from Regional Director, Approvals from the
Central Government and Investor complaints are
introduced through electronic filing and offered
through a secure portal. The portal services can
be accessed/ availed from anywhere, at any time
that best suits the corporate entities, professionals
and the public at large.
MCA21 E-Governance Project
1.4.2 The Ministry of Corporate Affairs has
implemented MCA21 e-Governance Project.
It is one of the Mission Mode Projects of
the Government of India under the National
e-Governance Plan. The project envisages easy and
secure online access to all registry related services
provided by the MCA, including registration and
filling of documents throughout the country for
6
all the corporate and other stakeholders at any
time and in a manner that best suits them and in
a manner that best suits them. During the year,
E-stamping has been introduced in MCA21
portal. This has enabled the stakeholders to make
payment of stamp duty on MCA21 portal itself.
The revenue collected by way of stamp duty is
remitted to RBI at the end of the week and the RBI
remit the same to respective States Government
within a day time. E-Governance system for LLP
was made operational on April 1st 2009. The
system was designed and developed by NIC.
All eForms except Form 11 (Annual Returns of
LLP) is available for users for filing. Payment
via credit card is also enabled. Currently there
are 1055 LLPs are registered as on March 31st,
2010 including conversion from companies &
firms. 5246 DPINS are allocated. It is planned
to introduce other modes of payments like net
banking & challan, as in MCA21.
1.4.3 During the year 2009-10, a number of
initiatives were taken in this direction. 17 e-forms
were revised and a new e-form 68 was introduced
for rectification of mistakes made in form 1A, 1
and 44 to improve the operational efficiency and
enhance compliance. Operation of the system
was switched over from the Data Centre in Delhi
to the Disaster Recovery Centre in Chennai to
establish that the disaster recovery centre is fully
geared to handle full MCA21 processing in case
of a disaster. Following operational statistics
bring out the stability in the system, increased
volume of filings and improved compliance:
 Sl. Description
No.
Filing Status as on March 31, 2010
1. Average portal hits per day
2. Total filings through the system till 31.03.2010
3. Number of Companies registered online
4. Total DIN issued till date
5. Company records viewed online
6. Number of Balance Sheets filed
7. Number of Annual Returns filed
8. Number of E-Stamping transaction upto 31.03.2010
9. Amount of E-Stamping collected upto 31.03.2010
Revision of Companies Act and other
related Legislations
Legal framework for Limited Liability
Partnership (LLP):
1.5.1 The provisions of the newly enacted
Limited Liability Partnership Act, 2008 have
been notified for implementation with effect from
31-03-2009. The Limited Liability Partnership
Rules, 2009 have been notified on 1st April,
2009. The provisions relating to conversion of
partnership firms, private company and unlisted
public company into LLP came into effect from
31st May 2009. LLP is a new business vehicle in
the body corporate form and therefore a separate
legal entity which limits the liability of the partners
to their agreed contribution. Any two or more
individuals or bodies corporate may incorporate
an LLP for carrying on a lawful business with a
view to profit. LLP structure is not restricted to
any specific trade, business, profession or service.
7
Number
40 Lakh
99.42 Lakh
2,42,305
12.33 Lakh
10.65 Lakh
15.91 Lakh
16.01 Lakh
98637
6078.08 Lakh
LLP is a legal entity separate from its partners and
has perpetual succession. Ministry of Corporate
Affairs has setup a single central Registry at
Delhi for registration of LLP and filing of further
returns with Registrar LLP online on its website
namely, www.llp.gov.in on 1st April, 2009.
1.5.2 Through the notification No. GSR 6(E)
dated 6th January, 2010, the Central Govt. in
exercise of powers conferred by sub-section (1)
of section 67 of Limited Liability Partnership
Act, 2008 (6 of 2009), made applicable the
winding up provisions of the Companies Act,
1956 to a Limited Liability Partnership, except
where the context otherwise requires, with certain
modifications. Through the notification No.
GSR (24E) dated 11th January, 2010 the Central
Government has notified Limited Liability
Partnership Amendment Rules, 2010. The Central
Government has notified the Limited Liability
Partnership (Winding up and Dissolution) Rules,
2010 vide GSR 266(E) dated 30th March 2010.
Comprehensive revision of the
Companies Act:
1.6 A comprehensively revised Bill, the
Companies Bill, 2008 was prepared in consultation
with Ministry of Law and was introduced in the
Lok Sabha on 23-10-2008 in the 14th Lok Sabha
and subsequently referred to the Department
related Parliamentary Standing Committee on
Finance for examination and report. However,
before the said Committee could present its report,
14th Lok Sabha was dissolved and the Companies
Bill, 2008 lapsed as per clause (5) of Article 107
of the Constitution of India. In view of this, the
same Bill, without any change expect the change
in respect of Bill year and Republic year, has been
introduced in the Lok Sabha as the Companies
Bill, 2009 on 03.08.2009 and subsequently,
the said Bill has been referred to the Standing
Committee on Finance for examination and
report. Currently, the Bill is under examination of
the said Committee and further necessary actions
would be taken after the report of the Committee
is available with the Central Government.
Revision of Forms prescribed under
various rules of the Companies Act,
1956
1.7.1 On the basis of the suggestions received
and inhouse examination of Forms prescribed
under Companies (Central Governments)
General Rules & Forms 1956 in the Ministry,
a review was undertaken to revise the existing
forms which would bring further improvement
and enhancement in service delivery under MCA-
21 e-Governance Project. 14 forms namely Form
1, Form 5, Form 8, Form 10, Form 17, Form
19, Form 20, Form 20A, Form 24B, Form 25A,
8
Form 32, Form 44, Form 49 and Form 61 were
undertaken for revision and implemented in the
system for use by the stakeholders. Two new forms
namely Form 67 and Form 68 were introduced
for filing addendum and for Rectification of
mistakes of Form 1, Form 1A and Form 44 vide
notification Nos. GSR-643(E) dated 7.9.2009 and
GSR-177(E) dated 5.3.2010, respectively. The
objectives of the revision of aforesaid Forms were
to make the filing easier and more clarificatory to
the users, to make ease of back office processing
of e-forms for prompt response to the user and
to bring further improvement in the e-forms by
changing/adding or deleting fields therein to elicit
information in accordance with the provisions of
the Companies Act, 1956.
1.7.2 Further, the Companies (Electronic Filing
and Authentication of Documents) Rules, 2006
and Scheme for Filling of Statutory Documents
and other Transactions by Companies in
Electronic Mode, 2006 have been amended vide
notification Nos. GSR 642(E) dated 7.9.2009
and S.O. 2276 (E) dated 7.9.2009 and S.O.
3314(E) dated 31st December, 2009 for payment
of stamp duty online payable on Form No.1,
MOA, AOA, Form No.5 and 44 through MCA
portal and dispensation of physical submission
of such documents in the office of ROCs. After
implementation of e-stamping, it would be
very convenient and friendly for stakeholders to
pay the stamp duty along with filing fees of the
documents and the ROCs would not have to wait
for physical submission thereof and can dispose
off the documents relating to incorporation of a
company and for increase in the nominal capital
immediately after e-filing.
Convergence of Accounting Standards
with International Financial Reporting
Standards (IFRS)
1.8.1 Accounting Standards are policy
documents relating to various aspects of
measurement, treatment, presentation and
disclosure of accounting transactions and events.
The purpose of Accounting Standards is to
standardise diverse accounting policies with a
view to eliminate incomparability of financial
statements. The objective is to provide a set
of standard accounting policies which are in
conformity with generally accepted principles
and policies.
1.8.2 Pursuant to the provision of section 211
(3C) of the Companies Act, 1956, the Companies
(Accounting Standards) Rules, 2006 were notified
in the Gazette of India dated 7th December 2006.
At present, 28 Accounting Standards have been
notified. Every company registered under the
Companies Act, 1956 is required to comply with
these Accounting Standards.
1.8.3 International Financial Reporting
Standards (IFRSs) are considered a principles
based set of standards in which they establish
broad rules as well as dictate specific treatments.
There is also a Framework for the Preparation
and Presentation of Financial Statements which
describes some of the principles underlying
IFRSs. The objective of financial statements is to
provide information about the financial position,
performance and changes in the financial position
of an entity that is useful to a wide range of users
in making economic decisions, and to provide
9
the current financial status of the entity to its
shareholders and public in general.
1.8.4 India has adopted policy of convergence
with IFRSs keeping in view the requirements of
change and transition necessary to be followed
by Indian companies and regulatory bodies.
Therefore, the initiative for harmonization of
Indian Accounting Standards with the IFRSs has
been taken up with the intention of achieving
convergence with IFRSs by 2011. India has
decided to apply converged Indian Accounting
Standards in phases for different categories of
companies (depending on specified criteria)
starting on 1st April, 2011.
1.8.5 NACAS has examined the about 35
IFRS Standards and has recommended 34 Indian
Accounting Standards [IND-AS] i.e. Converged
Accounting Standards. The same has been
processed for notification officially and it is
likely to be notified by the month end of January,
2011. NACAS has also recommended the
Revised Schedule VI comprising two parts i.e.
Part A and Part B. Part A is based on Indian
Accounting Standards [IND-AS] i.e. Converged
Accounting Standards to be notified and Part B
is based on Accounting Standards i.e. existing
notified Accounting Standards vide Companies
(Accounting Standards) Rules 2006.
NOTIFICATIONS, GENERAL CIRCULARS
AND PRESS NOTES
1.9 During the period from 1.4.2009 to
31.3.2010, the following Notifications and Press
Notes were issued:-
 NOTIFICATIONS :-

Sl Notification Date Subject

No. Number.

1. GSR-229 (E) 1.4.2009 The Limited Liability Partnership Rules, 2009.

2. S.O.-903 (E) 2.4.2009 Amendment to the Constitution of National Advisory

Committee on Accounting Standards (NACAS).

3. GSR-251 (E) 15.4.2009 The Companies (Issues of Indian Depository Receipts)

(Second Amendment) Rules, 2009.

4. GSR-257(E) 17.4.2009 The Companies (Central Governments) General Rules and

Forms (Amendment) Rules, 2009-Revision Forms namely
19, 20, 20A, 44 and 49 will into effect from 31st may, 2009.

5. GSR-259 (E) 20.4.2009 The Competition Commission of India (Term of the Selection
Committee and the manner of the Selection of penal of
names) Second Amendment Rules, 2009

6. GSR-260 (E) 20.4.2009 The Competition Appellate Tribunal ((Term of the Selection
Committee and the manner of the Selection of penal of
names) Amendment Rules,

7. GSR-284 (E) 24.4.2009 The Companies (Central Governments) General Rules and
Forms (Amendment) Rules, 2009 Revision Forms namely
8, 10, 17 and 61 will into effect from 19th July, 2009.

8. S.O.-1323 (E) 22.5.2009 The Limited Liability Partnership Act, 2008 to come into
force from 31.5.2009.

9. S.O.-1324 (E) 22.5.2009 The Limited Liability Partnership Rules, 2009 to come into
force from 31.5.2009.

10. S.O.-1357 (E) 27.5.2009 Amendment to the Constitution of National Advisory

Committee on Accounting Standards (NACAS) vide S.O.-
1270 (E) dated 30.5.2008.

11. GSR-385 (E) 4.6.2009 The Limited Liability Partnership (Amendment) Rules,
2009.

10
12. GSR-386 (E) 4.6.2009 Alteration in the second, third and fourth Schedule to the
Limited Liability Partnership Act, 2008.

13. GSR-522 (E) 14.7.2009 Eleven more Nidhi Companies.

14. GSR-540 (E) 21.7.2009 Authorizing the officers of SFIO for the purposes of filing and
conducting prosecution under the Companies Act, 1956.

15. S.O.-1800 (E) 21.7.2009 Constitution of National Advisory Committee on Accounting

Standards (NACAS).

16. GSR-642(E) 7.9.2009 Amendment to the Companies (Electronic filing and

Authentication of documents) Amendment Rules, 2006.

17. GSR-643 (E) 7.9.2009 Amendment to the Companies (Central Governments )

General Rules and Forms Rules, 1956- Revising Forms
namely 1, 5, 44 and 67.

18. S.O.2276(E) 7.9.2009 Amendment to the Scheme for filing of Statutory Document
and other Transactions by Companies.

19. GSR-649 (E) 8.9.2009 Amendment to the Companies (Central Governments) Rules
and Forms Rules, 1956-Revision of Forms namely 24B and
25A .

20. S.O.-2851 (E) 6.11.2009 Amendment to S.O.-1800 (E) dated 21.7.2009 regarding
National Advisory Committee on Accounting Standards
(NACAS).

21. S.O.-3203 (E) 14.12.2009 Amendment to S.O.-1800 (E) dated 21.7.2009 regarding
National Advisory Committee on Accounting Standards
(NACAS).

22. S.O.-3314(E) 31.12.2009 Scheme for filing of Statutory Documents and other
Transactions by Companies in Electronic Mode (Amendment)
Scheme, 2009.

23. GSR-6(E) 06.01.2010 In exercise of powers conferred by sub-section (1) of section

67 of Limited Liability Partnership Act, 2008 is provided in
the Companies Act1956 shall apply to a L.L.P. except where
the context otherwise requires for modifications.

11
 24. GSR-24(E) 11.01.2010 The Limited Liability Amendment Rules, 2010.

25. GSR-68(E) 10.02.2010 Companies (Central Government) Rules & Forms

(Amendment) 2010.

26. GSR-177(E) 05.03.2010 Companies (Central Government) Rules & Forms (Second
Amendment) 2010.

27. GSR-266(E) 30.03.2010 LLP (Winding up & Dissolution) Rules, 2010.

GENERAL CIRCULARS:-

1. 01/2009 16. 6.2009 Status of non resident holder of Global Depository Receipts
(GDR)-clarification regarding.

2. 02/2009 20.7.2009 Action under section 614A (2) of the Companies Act, 1956
instructions to ROCs.

PRESS NOTES:-

1. 01/2009 06.08.2009 Convergence of Indian Accounting Standards with

International Financial Reporting Standards (IFRS) Core
Group meeting to arrive at a roadmap for convergence.

2. 02/2009 23.10.2009 Convergence of Indian Accounting Standards with

International Financial Reporting Standards (IFRS).

3. 01/2010 12.01.2010 Convergence of Indian Accounting Standards with

International Financial Reporting Standards (IFRS).

4. 02/2010 22.01.2010 Convergence of Indian Accounting Standards with

International Financial Reporting Standards (IFRS).

5. 03/2010 31.03.2010 Convergence of Indian Accounting Standards with

International Financial Reporting Standards (IFRS).

DEPARTMENTAL CIRCULARS :- NIL

12
Serious Fraud Investigation Office
(SFIO)
1.10.1 Serious Fraud Investigation Office (SFIO)
has been set up by the Government of India in
the Ministry of Corporate Affairs by way of a
resolution dated 02.07.2003 after it was approved
by the Cabinet vide its note dated 09.01.2003.
This office was set up to investigate corporate
frauds of serious and complex nature.
1.10.2 The SFIO is a multi-disciplinary
Investigating Agency, wherein experts from
banking sector, capital market, company law,
general law, forensic audit, taxation, information
technology etc. work together to unravel a
corporate fraud. At present, SFIO is carrying out
investigation under provisions of the Companies
Act from Sections 235 to 247. However, as
approved by the cabinet, a separate legislation
would be enacted for SFIO in second phase
to provide adequate power and reach to this
organization. For this purpose, Vepa Kamesam
Committee set up by Ministry of Corporate Affairs
to look into the issue related to SFIO and make
suitable recommendation has already submitted
the report in April 2009. The recommendations of
the Committee are under examination in Ministry
of Corporate Affairs.
1.10.3 SFIO takes up investigation of corporate
frauds characterized by (a) complexity, and
having inter-departmental and multi-disciplinary
ramifications, (b) substantial involvement of
public interest to be judged by size, either in
terms of monetary misappropriation, or in
terms of persons affected; and (c) the possibility
of investigations leading to, or contributing
13
towards, a clear improvement in systems, laws or
procedures.
1.10.4 SFIO is headed by a Director as Head of
Department. He is of the rank of Joint Secretary
to the Government of India. The Director is
assisted by Additional Directors, Joint Directors,
Sr. Assistant Directors and Assistant Directors,
who form teams for investigation of a case. The
Head Office of SFIO is at Delhi and there is one
Branch Office in Mumbai.
National Company Law Tribunal
(NCLT)/National Company Law
Appellate Tribunal (NCLAT)
1.11.1 The Government has notified the
commencement of sections 2 and 6 of the
Companies (Second Amendment) Act 2002 on
01.04.2003 to initiate steps to set up National
Company Law Tribunal (NCLT) and National
Company Law Appellate Tribunal (NCLAT).
1.11.2 However, The National Company
Law Tribunal (NCLT) and National Company
Law Appellate Tribunal (NCLAT) have not
been constituted as yet since the Companies
(Second) Amendment Act, 2002 relating to the
establishment of NCLT and NCLAT faced a
legal challenge on account of a Special Leave
Petition (SLP) filled by the Central Government
in Supreme Court, against a ruling by the
Madras High Court in the Matter. The SLP was
referred to Constitutional Bench and the said
Constitutional Bench has passed a final order on
11.5.2010. Pursuant to the said order, the process
for setting-up of NCLT and NCLAT has been
initiated and it is at various stages. The Supreme
Court order dated 11.5.2010 was examined
vis--vis Companies Bill, 2009 and some changes Revenue Receipts & Expenditure:
have been incorporated in Companies Bill, 2009. 2005-06 to 2009-10
The changes proposed are broadly in accordance
with the said judgment without losing the spirit 1.12 The Revenue Receipts and Actual
of the judgment, keeping in view the practical Expenditure incurred under the Companies Act,
and implementation aspects involved in the 1956/MRTP Act, 1969 during the last five years
administration of such provisions. are indicated below:

Revenue Receipts and Expenditure during 2005-06 to 2009-10

Year Revenue Receipts (Rs. crore) Expenditure (Rs. crore)

(1) (2) (3)

2005-06 728.22 74.21
2006-07 1038.19 122.19
2007-08 1304.17 111.49
2008-09* 1231.78 205.47
2009-10 1235.06 226.11**

* Revised
** Authorization of Rs.6.35 crore was issued by the Principal Accounts Office, MCA to different
agent Ministries and has since been included in the expenditure for the year 2009-10.

14
 CHAPTER II
Review of Corporate Sector

2.1 Growth of the Corporate Sector in terms
of registration of new companies in different
categories, companies at work, liquidation of
companies and data on foreign companies during
the year 2009-10 are reviewed in this chapter.
equivalent to 8.0 per cent of the companies at
work as on 31.3.2010. The authorised capital of
67570 companies with liability limited by shares
registered during the year aggregated to Rs.
41,796.83 crore.

Company registration 2.2.2 Of the 67570 companies with liability

2.2.1 During the year 2009-10, 67817
companies were registered under the Companies
Act, 1956. These include 61 Government
companies with liability limited by shares, 67509
non-Government companies with liability limited
by shares, 23 non-Government companies with
unlimited liability and 224 Non-Government
companies with liability limited by guarantee
and associations not for profit. The number of
new companies registered during the year was
limited by shares registered during the year, 2031
were public limited companies with an authorised
capital of Rs.25960.49 crore and 65539 were
private limited companies with an aggregate
authorised capital of Rs.15836.34 crore. Table
2.1 sets out the pattern of registration of new
companies during the year 2009-10. Region/
State-wise distribution of companies limited by
shares registered during the year 2009-10 is given
in Statement-I ( Appendix).

Table 2.1
Companies registered during the year 2009-10

Type of Company Government Non-Government Total

No. of Authorised No. of Authorised No. of Authorised
Companies Capital Companies Capital Companies Capital
(Rs. Crore) (Rs. Crore) (Rs. Crore)
(1) (2) (3) (4) (5) (6) (7)
1. Liability limited by Shares
(i) Public Limited 41 4947.70 1990 21012.79 2031 25960.49
(ii) Private Limited 20 133.55 65519 15702.79 65539 15836.34
Sub-Total 61 5081.25 67509 36715.58 67570 41796.83
2. Unlimited Liability 0 0.00 23 3.89 23 3.89
3. Liability limited 0 0.00 224 10.48 224 10.48
by Guarantee and
Associations not for
profit
Total 61 5081.25 67756 36729.95 67817 41811.20

15
2.2.3 Industrial Activitywise distribution of indicated in Table 2.2 below:
companies registered during the year 2009-10 is
Table 2.2
Registration of New Companies Limited by Shares during the year 2009-10:
(Distribution by Industrial Activity wise)

Sl. Industrial Public Limited Private Limited Total

No. Classification No. of Authorised No. of Authorised No. of Authorised
Companies Capital Companies Capital Companies Capital
(Rs. (Rs. (Rs.
Crore) Crore) Crore)
(1) (2) (3) (4) (5) (6) (7) (8)
1 Agriculture and 115 124.99 1456 372.12 1571 497.11
Allied Activities
2 Mining and 38 373.10 788 385.69 826 758.79
quarrying
3 Manufacturing 421 3733.29 11576 5145.60 11997 8878.89
4 Electricity, Gas and 141 9070.88 1115 526.84 1256 9597.72
water Companies
5 Construction 258 735.67 7042 1589.65 7300 2325.32
6 Trade, Hotels and 196 208.54 12900 1861.71 13096 2070.25
Restaurants
7 Transport, Storage 65 8505.91 2147 444.50 2212 8950.41
and Communication
8 Finance, Insurance, 626 2776.07 23385 4453.12 24011 7229.19
Real Estate &
Business Services
9 Community, 171 432.04 5130 1057.11 5301 1489.15
Personal and Social
Services
10 Unclassified 0 0.00 0 0.00 0 0.00
Total 2031 25960.49 65539 15836.34 67570 41796.83

Activity -wise Distribution of Newly Registered Companies (2009-10)

16
2.2.4 The number of companies with liability new companies with liability limited by shares
limited by shares registered during the last registered during the year 2009-10 was higher by
five years from 2005-06 to 2009-10 is given 4.63 percent over the new companies registered
in Table 2.3. This shows that the number of during the previous year.

Table 2.3
Registration of New Companies Limited by Shares
during the years 2005-06 to 2009-10

Year Public Limited Private Limited Total

No. of Authorised No. of Authorised No. of Authorised

Companies Capital Companies Capital Companies Capital
(Rs. Crore) (Rs. Crore) (Rs. Crore)

(1) (2) (3) (4) (5) (6) (7)

2005-06 1890 7688.11 52130 11894.10 54020 19582.21

2006-07 1950 47297.45 49758 25213.45 51708 72510.90

2007-08 2597 32768.73 62762 42439.64 65359 75208.37

2008-09 2396 10985.64 62186 19642.25 64582 30627.89

2009-10 2031 25960.49 65539 15836.34 67570 41796.83

17
Companies at work at work as on 31st March, 2010, as summarised
in Table 2.4 below.
2.3.1 There were a total of 847165 companies

Table 2.4
Companies at work as on 31st March, 2010

Sl. No. Type of Company Number of

Companies
(1) (2) (3)
I. Companies Limited by Shares
(a) Government Companies
(i) Public Limited 1199
(ii) Private Limited 443
Sub-Total (a) 1642
(b) Non-Government Companies
(i) Public Limited 81623
(ii) Private Limited 752595
Sub-Total (b) 834218
Total (a+b) 835860
II. Companies with Unlimited Liability 678
III. Companies limited by Guarantee and Associations not for profit 7577
IV. Foreign Companies (as defined under Section 591 of the 3050
Companies Act)
Grand Total 847165

2.3.2 State-wise and Industrial Activity-wise grew by 15.5 per cent compared to 3.3 per cent
distribution of companies limited by shares at in case of public limited companies.
work as on 31st March, 2010 is given in statements
V to X (Appendix) respectively. Long Term Trends

2.3.3 The Companies limited by shares at work
recorded a growth of 6.2 per cent during 2009-10
(i.e. as on 31.3.2010 as compared to 31.3.2009).
The growth in number of Companies limited by
shares at work between 31.3.2006 and 31.3.2010
was 14.2 per cent, private limited companies
2.4.1 Statement XI (Appendix) gives the data
on growth of the corporate sector by various
categories of companies at work during operation
of the Companies Act, 1956 i.e. the years 1956-57
to 2009-10. It will be observed that the companies
limited by shares have recorded a phenomenal

18
growth. The number of such companies at work
increased by 28.5 times from 29357 at the end of
1956-57 to 835860 at the end of 2009-10.
2.4.2 Unlike companies limited by shares, the
companies limited by Guarantee and Associations
not for profit at work in the country have not
shown much variation in their number over the
period. Their number at the end of 1956-57 was
1364 which increased to 7577 at the end of
2009-10.
2.4.3 The first company with unlimited liability
was registered in 1973-74. The number of such
companies at the end of 2009-10 were 678.
2.4.4 Besides the companies registered under
the Companies Act, 1956 there are Branches of
Foreign companies, as defined under Section 591
of the Companies Act, operating in the country.
The number of Branches of Foreign companies
operating in the country, which was 551 at the
end of 1956-57 remained almost constant till
1974-75. With the coming into force of the
Foreign Exchange Regulation Act, 1973, on
1.1.1974, the number of such Branches recorded
gradual decline till the end of 1980-81 when
there were 300 such branches. Their number has
increased thereafter and as on 31.3.2010, the
figure is reported to be 3050.
GOVERNMENT COMPANIES
Registration of New Companies:
2.5.1 During the year 2009-10, 61 Government
companies were registered with an authorised
capital of Rs. 5081.25 crore. State-wise
distribution of Government companies limited
by shares registered during the year 2009-10 is
given in Statement II (Appendix).
2.5.2 Table 2.5 shows trend in registration
of Government companies during the last five
years.

Table 2.5
Registration of New Government Companies during 2005-06 to 2009-10

Year Public Limited Private Limited Total

No. of Authorised No. of Authorised No. of Authorised

Companies Capital Companies Capital Companies Capital
(Rs. Crore) (Rs. Crore) (Rs. Crore)

(1) (2) (3) (4) (5) (6) (7)

2005-06 18 3948.65 06 224.20 24 4172.85

2006-07 52 12723.15 64 88.75 116 12811.90

2007-08 41 1752.81 68 167.05 109 1919.86

2008-09 64 3813.35 20 35.88 84 3849.23

2009-10 41 4947.70 20 133.55 61 5081.25

19
Government companies which ceased limited by shares at work as on 31.03.2010 is
to work: given in Statement VI (Appendix).

2.6 Eight (8) Government companies were NON-GOVERNMENT COMPANIES

reported to have ceased working during the year
2009-10.
Government companies at work:
2.7 There were 1591 Government companies
limited by shares at work in the country as on
31st March, 2009. After taking into account the
newly registered companies, conversion between
Government and non-Government companies,
mergers, amalgamation and liquidation, there
were 1642 Government companies limited by
shares at work in the country as on 31st March,
2010. Of these 1642 companies, 1199 were public
limited and 443 were private limited companies.
State-wise distribution of Government companies
Registration of New Companies:
2.8 During the year 2009-10, 67509 Non-
Government companies limited by shares were
registered in the country with an authorised
capital of Rs. 36715.58 crore. Of these, 1990
were Public limited companies with aggregate
authorised capital of Rs. 21012.79 crore and
65519 were Private limited companies with
aggregate authorised capital of Rs. 15702.79 crore.
State-wise distribution of Non-Government
companies limited by shares registered during the
year 2009-10 is given in Statement III (Appendix).
Table 2.6 below indicates the trend in registration
of new Non-Government companies limited by
shares during the last five years.

Table 2.6
Registration of Non-Government Companies Limited by Shares during 2005-06 to 2009-10

Year Public Limited Private Limited Total

No. of Authorised No. of Authorised No. of Authorised
Companies Capital Companies Capital Companies Capital
(Rs. crore) (Rs. crore) (Rs. crore)
(1) (2) (3) (4) (5) (6) (7)
2005-06 1872 3739.46 52124 11669.90 53996 15409.36
2006-07 1898 34574.30 49694 25124.70 51592 59699.00
2007-08 2556 31015.92 62694 42272.59 65250 73288.51
2008-09 2332 7172.29 62166 19606.37 64498 26778.66
2009-10 1990 21012.79 65519 15702.79 67509 36715.58

State-wise Distribution: were registered in the 5 States/ Maharashtra,

Delhi, West Bengal, Tamil Nadu and Andhra
2.9 Out of 67509 Non-Government Pradesh. Maharashtra occupied the top position
companies registered during the year 2009-10, with 12065 new registration (17.9 per cent)
43146 companies or 63.9 per cent of the total followed by Delhi (17.4 per cent), West Bengal

20
(15.0 per cent), Tamil Nadu (7.0 per cent) and
Andhra Pradesh (6.6 per cent). The other States
and Union Territories together accounted for
24363 registrations of new Non- Government
companies.
Industrial Activity Pattern:
2.10 Table 2.7 shows the distribution of
Non-Government companies by broad activity
classification registered during the year
2009-10. The largest number of companies
registered during the year viz. 24008 companies
or 35.6 per cent of the total, belonged to the
group Finance, Insurance, Real Estate &
Business Services followed by 13095 or 19.4
per cent of the total registered under the group
of Trade, Hotels and Restaurants.

Table 2.7
Industrial Activity pattern of Non-Government Companies limited
by share registered during 2009-10

S.No. Industrial Classification Number of Authorised Capital

Companies
Number Percent (Rs. Percent
Crore)
(1) (2) (3) (4) (5) (6)
1 Agriculture and Allied Activities 1571 2.33 497.11 1.35
2 Mining and quarrying 814 1.20 670.74 1.83
3 Manufacturing 11992 17.76 8627.29 23.50
4 Electricity, Gas and water Companies 1236 1.83 5452.32 14.85
5 Construction 7296 10.81 2235.22 6.09
6 Trade, Hotels and Restaurants 13095 19.40 2069.75 5.64
7 Transport, Storage and Communication 2205 3.27 8580.26 23.37
8 Finance, Insurance, Real Estate & 24008 35.56 7224.04 19.67
Business Services
9 Community, Personal and Social 5292 7.84 1358.85 3.70
Services
10 Unclassified 0 0.00 0.00 0.00
Total 67509 100.00 36715.58 100.00

Non-Government Companies which
ceased to work:
2.11 During the year 2009-10, 12890 Non-
Government companies limited by shares were
reported to have ceased to work either by going into
liquidation or their names having been struck off
under Section 560(5) of the Companies Act. The
aggregate paid-up capital of these companies was
Rs. 608.39 crore. State/ Region-wise distribution
of companies which ceased to work during 2009-
10 is shown in Statement IV (Appendix). Table
2.8 shows the details of liquidated and struck off
companies during the last five years

21
 Table 2.8
Non-Government Companies which ceased to work during 2005-06 to 2009-10

Year Voluntary Liquidations Liquidations under Companies struck off Total

Courts Order

No. of Paid-up No. of Paid-up No. of Paid-up No. of Paid-up

Companies Capital Companies Capital Companies Capital Companies Capital
(Rs. crore) (Rs. crore) (Rs. crore) (Rs. crore)

(1) (2) (3) (4) (5) (6) (7) (8) (9)

2005-06 8 1.99 59 0.07 1313 10.54 1380 12.60

2006-07 0 0.00 65 394.48 17753 20910.86 17818 21305.34

2007-08 0 0.00 27 15.58 54307 35643.06 54334 35658.64

2008-09 0 0.00 28 11.68 17442 4868.66 17470 4880.34

2009-10 0 0.00 19 3.11 12871 605.28 12890 608.39

Non-Government Companies Limited Non-Government companies limited by shares at

by shares at work:
2.12.1 There were 834218 Non-Government
companies limited by shares at work in the country
as on 31st March, 2010. These comprised 81623
Public limited companies and 752595 Private
limited companies. State-wise distribution of
work as on 31.03.2010 is given in Statement VII
(Appendix).
2.12.2 The non-Government companies at work
as on 31.3.2010 registered 6.2 per cent increase
over the previous year in terms of number of
companies.

Non-Government Companies Limited by Shares at work during 1997-2010)

22
Government Companies with Unlim- liability were registered. These companies
ited liability were mainly registered in the state of Delhi
2.13 As on 31.03.2010, there were 7 (11), West Bengal (4) and Rajasthan (3). There
Government companies with unlimited liabilities were 671 Non-Government companies with
at work. Unlimited Liability at work as on 31.03.2010.
Non-Government Companies with Table 2.9 gives state-wise distribution of
Unlimited liability Non-Government companies with unlimited
2.14 During the year 2009-10, 23 liability during 2009-10.
Non-Government companies with unlimited

Table 2.9
State-wise distribution of Non-Government Companies with
Unlimited liability During 2009- 10

Sl. No. State / Union Territory Number of Companies Number of Companies at

registered during 2009- 10 work as on 31.3.2010
(1) (2) (3) (4)
1. Andhra Pradesh 1 45
2. Arunachal Pradesh 0 1
3. Bihar 0 3
4. Goa 0 28
5. Gujarat 0 164
6. Haryana 1 8
7. Himachal Pradesh 0 4
8. Jharkhand 0 1
9. Karnataka 1 95
10. Kerala 0 2
11. Madhya Pradesh 1 6
12. Maharashtra 0 105
13. Manipur 0 1
14. Orissa 0 4
15. Punjab 0 15
16. Rajasthan 3 6
17. Tamil Nadu 1 8
18. Uttar Pradesh 0 13
19. Uttarakhand 0 3
20. West Bengal 4 17
21. Delhi 11 137
22. Chandigarh 0 4
23. Puducherry 0 1
Total 23 671

23
Companies with Liability limited by Act, 1956, foreign companies mean companies
Guarantee and Associations not for incorporated outside India, which establish a
profit: place of business within India. The number of
2.15 During the year 2009-10, 224 Guarantee foreign companies which are reported to have
companies and Associations not for profit were place of business in the country as on 31.3.2010
registered under the Companies Act, 1956. was 3050. Table 2.10 gives the country-wise
The total number of Guarantee companies and
distribution of such foreign companies as on
Associations not for profit at work in the country
as on 31.3.2010 was 7577. 31.3.2009 and 31.3.2010.

Foreign Companies: 2.17 Statistical information given above is as

2.16 As per section 591 of the Companies generated under MCA21 system.

Table 2.10
Distribution of Foreign Companies defined Under Section 591 of the Companies Act, 1956
by their country of incorporation as on 31.3.2009 and 31.3.2010

Sl. Country of incorporation of Number of Companies as on Number of Companies as

No. Foreign Companies 31.03.2009 (Revised) on 31.03.2010
(1) (2) (3) (4)
1. United States of America 402 444
2. Singapore 292 311
3. United Kingdom 215 235
4. Japan 173 185
5. Germany 110 127
6. Hong Kong 96 104
7. France 83 88
8. Republic of Korea 73 79
9. Australia 60 61
10. Netherlands 55 59
11. Italy 50 54
12. Malaysia 40 46
13. Switzerland 36 40
14. China 33 36
15. Canada 32 35
16. Spain 28 34
17. Thailand 27 30
18. UAE 18 28
19. Belgium 23 25
20. Others 1004 1029
Total 2850 3050

24
25
 CHAPTER III
Applications and Documents Received Under Different Sections
of the Companies Act, 1956

3.1.1 The receipt and disposal of applications Applications and Documents received
and documents under various Sections of the by the Regional Directors/Registrars of
Companies Act, 1956 during the year 2009-10, Companies
except those relating to managerial personnel, Applications received under Sections 20,
are reviewed in this Chapter. Applications 166(1), 210(4) & other various Sections of
Companies Act, 1956.
relating to managerial personnel are dealt with in
Chapter IV. 3.2.1 Applications received during the year
2009-10 in the Offices of the Registrars of
Companies under Sections 20, 166(1), 210(4) &
3.1.2 The applications and documents are other various Sections of the Companies Act, 1956
received either by (i) Regional Directors / aggregated to 295510. Of the total applications
Registrars of Companies and (ii) the Central received during the year, 98265 applications
Government / the Company Law Board. These related to availability of names under Section
20 of the Companies Act, 1956. The break-up of
have been reviewed separately under respective applications received during the last three years
sub-heads. is given in Table 3.1.
Table 3.1
Applications received under Sections 20, 166(1), 210(4) & other various Sections of the
Companies Act, 1956 during the years 2007- 08, 2008- 09 and 2009-10
Subject/Section 2007-08 2008-09 2009-10
B/F From Received Total B/F from Received Total B/F from Received Total
previous during Col. previous during Col. previous during the Col.
year the year (2)+(3) year the year (5)+(6) year year (8)+(9)
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
1. Availability of 3882 78024 81906 2152 98021 100173 2067 98265 100332
name
(Section 20)
2. Extension of 28 1635 1663 99 1618 1717 157 1571 1728
Annual General
Meeting
(Section 166(1))
3. Extension of 11 217 228 24 293 317 45 238 283
Financial year
[Section 210(4)]
4 Other 4331 286084 290415 8292 60839 69131 6252 195436 201688
applications
(Under various
Sections)
Total 8252 365960 374212 10567 160771 171338 8521 295510 304031

26
3.2.2 Taking into account the 295510
applications received during the year under
review and 8521 applications brought forward
from the previous year, the number of applications
considered during the year came to 304031. Of
these, 283197 applications were allowed, 11479
were rejected and 9355 were under examination/
consideration at the end of the year. Table 3.2
gives Section-wise details of disposal of the
applications during the year 2009-10.

Table 3.2
Disposal of applications received under Sections 20, 166(1), 210(4) & other
various Sections of the Companies Act, 1956 during the year 2009-10

Subject/Section B/F Received Total Allowed Rejected Pending

from the during Col. during during at the
previous the year (2)+(3) the year the year end of
year the year
(1) (2) (3) (4) (5) (6) (7)
1. Availability of Name 2067 98265 100332 90579 7652 2101
(Section 20)
2. Extension of Annual 157 1571 1728 1130 492 106
General Meeting
(Section 166(1))
3. Extension of 45 238 283 165 86 32
Financial year
(Section 210(4))
4. Other Applications 6252 195436 201688 191323 3249 7116
(Under various
Sections)
Total 8521 295510 304031 283197 11479 9355

Documents filed under Sections 159,
160, 220 & other various Sections of the
Companies Act, 1956.
3.3.1 The statutory documents filed by
companies may be broadly classified under 3
categories viz. (i) Annual Returns (Sections
159 and 160), (ii) Balance Sheets and Profit
and Loss Accounts (Section 220) and (iii) Other
Documents. In all 2366856 documents were
filed by the companies with the Registrars of
Companies during the year 2009-10. Of these,
455856 were Annual Returns under Sections 159
and 160 of the Act., 546484 were Balance Sheets
and Profit and Loss Accounts filed under Section
220 of the Act, and the remaining 1364516
documents were filed under the miscellaneous
provisions of the Act. The number of documents
filed with the Registrars of Companies during the
last three years are given in Table 3.3.

27
 Table 3.3
Documents received under Sections 159, 160, 220 & other various Sections of the Companies
Act, 1956 during the years 2007-08, 2008-09 and 2009-10

Nature of 2007-08 2008-09 2008-09

Document and B/F Received Total Col. B/F from Received Total Col. B/F from Received Total Col.
Section from During (2)+(3) previous during the (5)+(6) previous During The (8)+(9)
concerned previous year the year year year year year

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
1. Annual Returns 1458 361447 362905 1444 390083 391527 20260 455856 476116

(Sections 159&160)
2. Balance Sheets 1340 379323 380663 1360 534723 536083 13871 546484 560355
and Profit & Loss
Accounts

(Section 220)
3. Other Documents 37253 1337827 1375080 42971 1382769 1425740 49752 1364516 1414268

(Under various
Sections)
Total 40051 2078597 2118648 45775 2307575 2353350 83883 2366856 2450739

3.3.2 Taking into account the 2366856
documents received during the year under review
and 83883 documents brought forward from the
previous year, the total number of documents
requiring scrutiny during the year was 2450739.
Of these, 2344981 documents were taken on
record as being in order, 36112 were returned
for rectification of defects and 69646 remained
pending at the end of the year. Section-wise
details of disposal of documents are shown in
Table 3.4.

Table 3.4
Disposal of Documents received under Sections 159, 160, 220 & other various
Sections of the Companies Act, 1956 during the year 2009-10

Nature of documents and B/F from the Received Total Col. Taken on Returned for Pending at
Section concerned previous year during the (2)+(3) record rectification the end of
year the year

(1) (2) (3) (4) (5) (6) (7)

1. Annual Returns 20260 455856 476116 459066 7465 9585
(Section 159 & 160)
2. Balance Sheets and 13871 546484 560355 551666 5857 2832
Profit & Loss A/c
(Section 220)
3. Other Documents 49752 1364516 1414268 1334249 22790 57229
(Under various Sections)
Total 83883 2366856 2450739 2344981 36112 69646

28
Inspection of Documents Under Section
610(1)(a)
3.4 During the year 2009-10, 463275
documents were inspected in the Offices of
the Registrars of Companies received from
shareholders and members of the public under
Section 610(1)(a) of the Companies Act,1956. The
fees realised by the Registrars of Companies on
this account amounted to Rs. 2,32,21,850/-. The
number of documents inspected in the previous
year (2008-09) was 408274 and the amount of
fee realised was Rs. 2,04,09,900/-. The largest
number of documents inspected during the year
under review was of the Registrar of Companies,
Delhi i.e. 108993 documents representing 23.53
per cent of the total. The number of documents in
the office of the Registrar of Companies, Mumbai
(viz. 100304 representing 21.65 per cent)
came next, followed by documents inspected
in the Office of the Registrars of Companies,
West Bengal, Chennai, and Andhra Pradesh (
viz. 48620, 37590 and 33694 respectively)
in that order. The documents inspected in the
offices of these five Registrars of Companies
together accounted for 71.05 per cent of the total
documents inspected under this Section in the
offices of all the Registrars of Companies during
the year under review.
Issue of Certificates and certified copies
of documents under Section 610(1)(b).
3.5 The number of certificates of incorporation
and certified copies of documents issued during
the year 2009-10 by the Registrars of Companies
under Section 610(1)(b) of the Companies Act
totalled 27992 and fees realised on this account
29
amounted to Rs.1,62,71,410/-. During the year
2008-09, 30291 certificates of incorporation and
certified copies of documents were issued and fee
of Rs. 1,77,08,275/- was realised.
Conversion of Companies under
Section 31 and 43A
3.6 There were 1854 conversions
of companies from private to public and
vice-versa during the year 2009-10. Of these, 610
conversions from private to public and 1189 from
public to private were by alteration of articles of
association by special resolution under Section
31 of the Act. Remaining 55 conversions, were
from private to public took place under Section
43A of the Act.
Complaints
(A) Complaint received and disposed of by
ROCs
3.7.1 During the year 2009-10, 7375 complaints
were received in the offices of the Registrars of
Companies from shareholders and members of
the public. The number of complaints received in
the previous year was 6385.
3.7.2 During the year 2009-10, 7994 complaints
were considered including 619 complaints
brought forward from the previous year. Of
these, action was taken on 6826 complaints
after necessary scrutiny and inquiry and 1168
complaints remained pending at the end of the
year. Table 3.5 gives the comparative position
regarding the complaints received and disposed
of by ROCs during the last three years.
 Table 3.5
Complaints received and disposed of by ROCs during the years
2007-08, 2008-09 and 2009-10
Year B/F from the Received during Total Col. Disposed of Pending at the
previous year the year (2)+(3) during the year end of the year

(1) (2) (3) (4) (5) (6)

2007-08 1010 6627 7637 7238 399
2008-09 399 6385 6784 6165 619
2009-10 619 7375 7994 6826 1168

Nature of Complaints by companies. The other grounds on which a

3.7.3 The grounds of complaints varied in
nature. 1299 complaints (17.6%) out of the total
number of complaints received during the year
2009-10 related to non-payment of public deposits
large number of complaints received related to
non-receipt of Balance-sheets (10.7%) and non-
payment of dividend (5.7 % ). The break-up of
complaints according to their nature is shown in
Table 3.6.

Table 3.6
Nature of complaints received & disposed by ROCs during 2009-10

B/F from Received Percentage Percentage Pending

Total Disposed
Sl. the during of the of the at the
Nature of complaints Col. of during
No. previous the total total end of
(3)+(4) the year
year year receipts disposal the year
(1) (2) (3) (4) (5) (6) (7) (8) (9)
Non-payment of public
1 91 1299 1390 17.4 1270 18.6 120
deposits
2 Mismanagement 8 248 256 3.2 226 3.3 30
3 Non-payment of dividend 72 418 490 6.1 447 6.5 43
Non-receipt of Balance
4 63 790 853 10.6 765 11.2 88
Sheets
5 Non-receipt of Notices 4 138 142 1.8 130 1.9 12
Non-registration of Transfer
6 6 176 182 2.3 170 2.5 12
of Shares
Non-issue of Share
7 2 170 172 2.2 151 2.2 21
certificates
8 Improper holding of meetings 1 33 34 0.4 29 0.4 5
Non-holding of Annual
9 3 69 72 0.9 62 0.9 10
General Meetings
Non-receipt of Dividend
10 11 175 186 2.3 154 2.3 32
warrant
11 Misappropriation 0 45 45 0.6 40 0.6 5
12 Fraud/ Embezzlement 1 71 72 0.9 59 0.9 13
13 Misapplication of funds 0 21 21 0.3 17 0.2 4
Improper election of
14 0 8 8 0.1 7 0.1 1
Directors
Failure to allow inspection of
15 1 6 7 0.1 5 0.1 2
Minute Books
Other complaints
16 356 3708 4064 50.8 3294 48.3 770
(Miscellaneous)
Total 619 7375 7994 100.0 6826 100.0 1168

30
ROC-wise distribution of complaints
3.8 The Registrar of Companies, Mumbai
received the largest number of complaints during
the year 2009-10, viz. 1771 (24.0 per cent of the
total) followed by the Registrars of Companies,
Delhi/Haryana, Chennai, U.P. and Punjab/H.P./
Chandigarh, who received 1676, 729, 534,
and 513 complaints respectively. These five
Registrars of Companies together accounted for
70.82 per cent of the total number of complaints
received during the year. The ROC-wise
break-up of complaints received during the year
2009-10 is given in Table 3.7.

Table 3.7
ROC-wise break-up of complaints received during 2009-10

Sl. State/ Union Territory B/F Received Total Percentage Disposed Percentage Pending
No. from the during Col. of Total of during of grand at the end
previous the year (3)+(4) receipts the year total of the
year disposal year

(1) (2) (3) (4) (5) (6) (7) (8) (9)

1 Andhra Pradesh 81 399 480 6.0 399 5.8 81

2 Assam 0 0 0 0.0 0 0.0 0

3 Bihar 0 25 25 0.3 25 0.4 0

4 Delhi/ Haryana 22 1676 1698 21.2 1340 19.6 358

5 Goa 37 16 53 0.7 26 0.4 27

6 Gujarat 0 364 364 4.6 364 5.3 0

7 Jammu & Kashmir 0 0 0 0.0 0 0.0 0

8 Karnataka 0 86 86 1.1 64 0.9 22

9 Kerala 0 107 107 1.3 107 1.6 0

10 Madhya Pradesh 0 178 178 2.2 178 2.6 0

11 Maharashtra (Mumbai) 191 1771 1962 24.5 1690 24.8 272

12 Pune 0 147 147 1.8 147 2.2 0

13 Orissa 0 16 16 0.2 16 0.2 0

14 Puducherry 2 6 8 0.1 8 0.1 0

15 Punjab/H.P./Chandigarh 30 513 543 6.8 529 7.7 14

16 Rajasthan 13 332 345 4.3 333 4.9 12

17 Chennai 0 729 729 9.1 667 9.8 62

18 Coimbatore 7 73 80 1.0 80 1.2 0

19 Uttar Pradesh 34 534 568 7.1 540 7.9 28

20 West Bengal 202 403 605 7.6 313 4.6 292

Total 619 7375 7994 100.0 6826 100.0 1168

31
(B) Complaint received and disposed of by
Head Quarters New Delhi.
3.9 The Investor Grievance Management Cell
(IGMC) at Ministrys Head Quarters, New Delhi
received 1020 complaints from the investors/
depositors during the period from 1.04.2009 to
31.3.2010 whereas 878 complaints were brought
forward from the previous year. Out of a total of
1898 complaints, 62 complaint marked duplicate,
14 were forwarded to external agencies by ROCs,
486 complaints have been resolved/settled and
1336 complaints were pending for resolution
as on 31.03.2010. Further, IGMC received 111
complaints pertaining to other Agencies and the
same were forwarded to the respective Agencies
for necessary action. Out of these, 48 complaints
were forwarded to Securities and Exchange Board
of India (SEBI), 9 complaints to Reserve Bank of
India (RBI), 3 complaints to Ministry of Finance
(Department of Economic Affairs), 49 complaints
to Hardship Committee of Company Law Board
(CLB) and one each to Ministry of Labour and
Competition Appellate Tribunal (CAT).
Applications considered and disposed
of by the Regional Directors and
Registrars of Companies.
3.10 The powers and functions of the Central
Government in respect of some Sections of the
Companies Act,1956 have been delegated to the
Regional Directors located at Kolkata, Mumbai,
Chennai, Noida (U.P.), Guwahati and Ahemdabad
and to the Registrars of Companies. Table 3.8
below shows the disposal of applications dealt
with by the Regional Directors/ Registrars of
Companies under the delegated powers. It would
be seen that during the year under review 90,983
applications including 33,818 brought forward
from the previous year were considered. The
largest number of applications, viz. 45,969 (50.52
per cent of the total ) were considered under
Section 560 of the Act regarding Striking of the
name of companies in the register maintained
by ROCs. Out of the total 90,983 applications,
65,515 were disposed of during the year leaving
25,468 applications pending as on 31st March,
2010.

Table 3.8
Applications considered and disposed of by the Regional Directors and Registrars of
Companies under various Sections of the Companies Act, 1956 during the year 2009-10

Sl. Section of the Companies Applications Applications Total Applications Applications

No Act and the subject matter Pending Received Col. disposed of Pending
of the application as on during the (3)+(4) during the as on
31.3.2009 year year 31.03.2010
2009-10 2009-10

(1) (2) (3) (4) (5) (6) (7)

1. 21 - Change of name by 538 9318 9856 9268 588

company

2. 22 - Rectification of name of 70 70 140 38 102

company

3. 25 - Grant of licence 113 360 473 355 118

32
 4. 25(8) - Alteration in 40 96 136 96 40
Memorandum & Articles of
Association

5. 31 - Alteration in Articles 198 3769 3967 3737 230

through Special Resolution

6. 108(1D) - Extension of time 47 28019 28066 28019 47

for Registration of transfer of
shares

7. 224(3)&224(7) - Appointment 15 32 47 30 17
and remuneration of Auditors

8. Section 394-A amalgation 140 1141 1281 1134 147

of companies (pub/pvt.
Companies) by RD

9. 555(7)(b) - Company 779 269 1048 145 903

liquidation Accounts

10. 560 Striking of name of the 31878 14091 45969 22693 23276
companies in the Register
maintained by ROC

Total 33818 57165 90983 65515 25468

Applications received by the Central financial years. The rules lay down the following
Government and Company Law Board conditions governing the acceptance of deposits:

Invitation and acceptance of Deposits under Ceiling limits of deposits with reference
Section 58A to the companys net worth.

3.11.1 Section 58A of the Companies Act, 1956
which came into force on 1.2.1975, regulates
the invitation and acceptance of deposits by
non-banking non-financial companies. The
Companies (Acceptance of Deposits) Rules,
1975 framed in pursuance of sub-section (1) of
Section 58A of the aforementioned Act, prescribe
the limits up to which, the manner in which and
the conditions subject to which deposits may be
invited or accepted by these companies either
from the public or from their members. These
Rules prescribe every company to advertise at the
time of inviting deposits, a summarized financial
position of the company for the preceding two
Maximum period of 36 months for which
the deposits can be accepted.
Maximum rate of brokerage, which can be
paid by the company to brokers through
whom the deposits are collected.
Maintenance of liquid assets to the extent
of 15% of deposits maturing during the
year to be invested in specified securities
in order to safeguard the interests of
depositors.
Maximum rate of interest payable on
deposits.

33
3.11.2 Under the proviso to sub-section (7) of
Section 58A of the Companies Act, 1956, the
Government is empowered to exempt a class of
companies from all or any of the provisions of
Section 58A. The Ministry has granted exemption
vide Notification GSR No. 1075E dated
29.12.1989 from the provisions of sub-section
(1) to (6) of Section 58A in respect of acceptance
of deposits through issue of Commercial paper
by companies which satisfy the eligibility criteria
laid down by Reserve Bank of India in the Non-
Banking Companies (Acceptance of Deposits
through Commercial Paper) Directions 1989.
The said Notification has come into force on and
from 1.1.1990.
3.11.3 Sub-section (8) of Section 58A of
the Companies Act, 1956 empowers Central
Government, if it considers necessary for
avoiding any hardship or for any other just and
sufficient reason, to grant extension of time to a
company or class of companies to comply with
or exempt any company or class of companies
from all or any of the provisions of Section 58A
either generally or for a specified period subject
to such conditions as may be specified, either
prospectively or retrospectively from a date not
earlier than the commencement of the Companies
(Amendment) Act, 1974. In case exemption is
to be granted for a class of companies, it is to
be done after consultation with Reserve Bank of
India.
3.11.4 Sub-sections (9) & (10) of Section 58A
Act of the Companies Act, 1956 empower the
Company Law Board to take cognizance of any
case of non-repayment of deposits on maturity
and direct the company to make repayment of
such deposits within such time and subject to
34
such conditions, as may be specified in the order.
Non-compliance of the orders of the Company
Law Board would attract penalty by way of
imprisonment, which may extend to three years
and shall also be liable to a fine of not less than
Rs. 500/- for every day till such non-compliance
continues.
(A) Applications Disposed of by the
Central Government
(a) Applications for exemption/extension
of time under section 58A (8).
3.12 During the period with effect from
1.4.2009 to 31.3.2010, seven (7) applications
for granting exemption/extension of time under
Section 58A (8) of the Companies Act, 1956 were
received in addition to 10 applications brought
forward from the previous year. Out of the total
17 applications, 11 applications were disposed of
during the said period, and 06 applications were
under examination as on 31.3.2010.
(b) Reduction of Equity Share Capital
under Section 101
3.13.1 As of 31.03.2009, two (2) applications/
petitions were pending under Section 101 by
(i) M/s. Durgapur Chemicals Ltd. and (ii) M/s.
Gluconate Health Ltd.. During the year 2009-10,
2 more applications/ petitions were received from
(i) M/s. State Farms Ltd. and (ii) M/s.National
Project Conctruction Ltd.
3.13.2 Out of these 4 cases, 2 applications/
petitions of (i) M/s. State Farms Ltd. and (ii)
M/s Gluconate Health Ltd. were considered and
disposed of. Remaining two applications/petitions
were pending as on 31.03.2010.
(c) Restriction on Acquisition/Transfer of sections was pending as on 31.03.2009. These 2
certain shares under section 108A & applications were disposed of during the year and
108B no application was pending as on 31.3.2010.

3.14.1 Under section 108A & 108B, prior
approval of the Central Government is required
to be obtained for acquisition/transfer of shares
by or to, an individual, firm, group constituent of
a group, body corporate or bodies corporate under
the same management in relation to dominant
undertaking provided there is any increase in
dominance as a result of such an acquisition or
transfer of shares.
3.14.2 During the year 2009-10, two (2)
applications one each u/s 108A and 108B
were received and no application under these
(d) Permission to Government Companies
under section 166
3.15 The Central Government has powers
under Section 166(1) & (2) of the Companies
Act, 1956 to grant extension of time by three
months to Government Companies for holding
Annual General Meetings (AGM) and for change
of venue of AGM to a place other than where the
registered office of the company is situated. The
number of applications for extension of time and
change of venue received and disposed of during
the year 2009-10 are given in Table 3.9.

Table 3.9
Applications under Section 166 received and disposed of during 2009-10

Section of Nature of Pending Received Total Disposal during the Pending

Companies Applications at the during the Col. year as on
Act, 1956 beginning Year (3)+(4) Request Request 31.3.2010
accepted rejected
(1) (2) (3) (4) (5) (6) (7) (8)
166(1) Annual General 0 194 194 192 2 0
Meeting
(Extension of time)
166(2) Annual General 0 30 30 30 0 0
Meeting (Change
of venue)
TOTAL 0 224 224 222 2 0

(e) Payment of Dividends out of Reserve
under section 205A (3)
3.16.1 Section 205A (3) of the Companies Act,
1956 makes it obligatory for a company to seek
prior approval of the Central Government where
owing to inadequacy or absence of profits in
any year, it proposed to declare dividend out of
the accumulated profits earned in the previous
years and transferred to the reserves and where
declaration of dividend is not in accordance with
the Rules, namely, the Companies (Declaration
of Dividend out of Reserves) Rules, 1975 framed
under the said section.

35
3.16.2 During the year 2009-10, two (2)
applications were received under section 205A
(3), while 1 application was brought forward from
the previous year. All the 3 applications were
disposed of during the year and no application
was pending as on 31.3.2010.
(f) Change in rate of Depreciation under
section 205(2)(c)
3.17.1 As on 31.03.2009, five (5) applications
were pending under section 205 (2) (c) by (i)
ONGC Ltd., (ii) Power Links Transmission Ltd.
(iii) ISMT Ltd., (iv) NACIL, and (v) Air India Ltd.
During the period from 1.4.2009 to 31.03.2010,
four more applications were received from (i)
Manaksia Ltd., (ii) New Tirupar Area Dev. Ltd.
(iii) Maharashtra State Corporation Generation
Co. Ltd. and (iv) GTL Infrastructure Ltd..
3.17.2 Out of above 9 cases, 3 applications of
(i) ONGC Ltd (ii) Manaksia Ltd and (iii) Power
Links Transmission Ltd were considered and
disposed of. Remaining 6 applications were under
consideration and pending as on 31.03.2010.
(g) Exemption from disclosing the
quantitative details under section
211(4)
3.18.1 Part II of Schedule VI to the Companies
Act,1956 dealing with the preparation of
Profit and Loss Accounts provides that the
manufacturing and other companies should give
by way of notes, additional data in regard to
turnover, installed capacity, licensed capacity,
actual production, raw material consumed,
opening and closing stock of good produced
etc. Some of the Companies which on account
of certain difficulties, are unable to comply with
the said provisions to furnish the additional data,
can approach the central Government for order
36
under section 211(4) of the Companies Act, 1956
for exemption from furnishing this information.
3.18.2 As on 31.03.2009, 76 applications were
pending under section 211(4) of the Companies
Act, 1956. During the period from 1.4.2009 to
31.03.2010, 215 more applications were received
for seeking exemption from complying the
requirements of para 3 and 4 Part-II of Schedule
VI to the Companies Act, 1956.
3.18.3 Out of these 291 cases, 235 applications
were considered and disposed of. Remaining
56 applications were under consideration and
pending as on 31.03.2010.
(h) Exemption from annexing balance
sheet of the subsidiary companies
under section 212(8)
3.19.1 Section 212 of the Companies Act, 1956
provides that the Balance sheet of a holding
company should include certain documents of
its subsidiaries. However sub-section (8) thereof
empowers the Central Government to exempt
a holding company from the requirements of
including in balance sheet the said documents of
subsidiary companies.
3.19.2 As on 31.03.2009, 220 applications were
pending under section 212(8) of the Companies
Act, 1956. During the period from 1.4.2009 to
31.03.2010, 690 applications were received for
seeking exemption from attaching the balance
sheet etc. of their subsidiaries with their balance
sheets as required under Section 212 (1) of the
Act.
3.19.3 Out of these 910 cases, 732 applications
were considered and disposed of. Remaining
178 applications were under consideration and
pending as on 31.03.2010.
(i) Appointment of Cost Auditors under
section 233B(2)
3.20.1 Consequent upon the launch of MCA-21
Project under the e-Governance, companies under
cost audit have started filing applications for
appointment of cost auditors, through electronic
mode from April, 2006.
3.20.2 During the year 2009-10, 1656
applications were received through e-mode for
approval of appointment of cost auditors under
sections 233B(2) of the Companies Act, 1956
as against 2004 applications received during the
previous year 2008-09.
(j) Appointment of Sole Selling/Buying
Agents under section 294AA (1), (2)
& (3)
3.21.1 Sub-section 294AA (1) of the Companies
Act, 1956 requires that where the Central
Government is of the opinion that the demand for
goods of any category is substantially in excess of
the production or supply of such goods and that
the services of the Sole Selling Agents will not be
necessary to create a market for such goods, the
Central Government may, by notification in the
Official Gazette, declare that Sole Selling Agent
shall not be appointed by a company for the sale of
such goods for such period as may be specified in
the declaration. At present, the said prohibition on
appointment of Sole Selling Agents exists only in
respect of Bulk drugs, Drugs and Formulations
which has been extended for a period of three
years w.e.f. 5.4.2007 vide Notification No. GSR
272(E) dated 5.4.2007.
3.21.2 Sub-sections (2) and (3) of Section 294-AA
of the Companies Act, 1956 require the companies
to obtain approval of Central Government for
appointment of Sole Selling Agents. Sub-section
37
(2) applies to those companies, in which the Sole
Selling Agents either by themselves or through
their relatives hold paid-up-capital of Rs. 5 lakhs
or 5 per cent of the paid-up-capital of the company,
whichever is less. Sub-section (3) applies to the
companies whose paid-up capital is Rs. 50 lakh
or more.
3.21.3 During the year 2009-10, eleven (11)
applications were received under sub-sections
(2) & (3) of Section 294AA of the Companies
Act, 1956 while 8 applications were brought
forward from the previous year. Out of the total
19 applications, 16 applications were disposed of
and 3 applications were pending at various stages
of consideration as on 31.3.2010.
(k) Loan to Directors, giving guarantee or
providing security in connection with a
loan- under section 295
3.22.1 Section 295 of the Companies Act, 1956
requires all public companies or their subsidiaries
to obtain the previous approval of the Central
Government before making any loan to, or
giving any guarantee or providing any security in
connection with a loan made by any other person
to, or to any other person by their directors,
relatives of such directors, firms or private
companies in which such directors are interested
and to other body corporate falling within the
ambit of clauses (d) & (e) of sub-Section (1) of
the said Section.
3.22.2 During the year 2009-10, the Central
Government received 52 applications while
17 applications were brought forward from the
previous year under Section 295. Out of these 69
applications, 36 applications were disposed of and
33 applications were pending as on 31.3.2010.
(l) Contracts in which Directors are
interested under Section 297
3.23.1 Section 297(1) of the Companies Act,
1956, as amended by the Companies (Amendment)
Act, 1974 which came into force with effect
from 1st February, 1975 makes it obligatory for
companies having paid-up share capital of not
less than Rs. 1 crore to seek prior approval of the
Central Government in respect of any contract to
be entered into (a) for sale, purchase or supply of
goods, material or service or (b) for underwriting
the subscription of any share or debentures of
the company with a Director of the company or
his relatives, a firm in which such a Director or
relative is a partner, any other partner in such a
firm or a private company of which a Director
is a member or Director. The powers of Central
Government to accord approval under Section
297(1) of the Companies Act, 1956 have been
delegated to Regional Directors with effect from
19.8.1993. This has been done with the twin
purposes of decentralisation and expeditious
disposal.
3.23.2 During the period from 1.4.2009 to
31.3.2010, Regional Directors considered 2303
applications including 236 applications brought
forward from the previous year. Out of these,
2043 applications have been decided leaving a
balance of 260 applications under consideration
with Regional Directors as on 31.3.2010.
(m) Amalgamation / Merger between
Government companies under Section
391-394.
3.24.1 As on 31.03.2009, three (3) applications/
petitions were pending under sections 391-394 by
M/s. Madhya Pradesh State Industrial Development
Ltd. And its secured and unsecured creditors and
14.4% Bond holders, including the creditors, (ii)
38
M/s. Keltron Magnetics Ltd (Transferor Company
No.1), M/s. Keltron Resistors Ltd. (Transferor
Company No.2) and M/s. Keltron Crystals Ltd.
(Transferor Company No.3) with M/s. Keltron
Component Complex Ltd. and (iii) M/s. Pabbar
Vally Power Ltd. and M/s. Kinner Kailash Power
Corp. Ltd. with H.P. Power Corp. Ltd.. During
the period from 1.4.2009 to 31.03.2010, four (4)
more applications/petitions were received from
(i). M/s. Sponge Iron India Ltd. with M/s. NMDC
(ii) Karnataka Small Ind. Marketing Corp. Ltd.
with Karnataka State Small Ind. Dev. Ltd., (iii)
UTI Infrastrucure and Services Ltd. with UTI
Technology Services Ltd. and (iv) Maharashtra
Melektroselt Ltd. with SAIL.
3.24.2 During the period from 1.4.2009 to
31.03.2010, Out of these 7 applications/petitions,
3 application/petition of (i) M/s. Keltron
Magnetics Ltd (Transferor Company No.1),
M/s. Keltron Resistors Ltd. (Transferor Company
No.2) and M/s. Keltron Crystals Ltd. (Transferor
Company No.3) with M/s. Keltron Component
Complex Ltd. (ii) M/s. Pabbar Vally Power Ltd.
and M/s. Kinner Kailash Power Corp. Ltd. with
H.P. Power Corp. Ltd. and (iii) M/s. Sponge Iron
India Ltd. with M/s. NMDC were considered and
disposed of. Remaining 4 applications/petitions
were under consideration and pending as on
31.03.2010.
(n) Amalgamation / Merger of
Government companies on public
interest under Section 396
3.25.1 As on 31.03.2009, four (4) applications/
petitions were pending under section 396 by (i)
M/s. Tamilnadu Goods Transport Corporation
Ltd. with State Express Transport Corporation
Ltd., (ii) Karnataka Small Industries Marketing
Corporation Ltd. with Karnataka State Small
Industries Development Ltd., (iii) Tamilnadu
Graphite Ltd. with Tamilnadu Mineral Ltd. and
(iv) BRPL & SAIL. During the period from
1.4.2009 to 31.03.2010, no more application/
petition was received.
3.25.2 Out of these 4 cases, 2 applications/
petitions of (i) Karnataka Small Industries
Marketing Corporation Ltd. with Karnataka
State Small Industries Development Ltd. and (ii).
BRPL & SAIL were considered and disposed
of. Remaining 2 applications/petitions were
under consideration and were pending as on
31.03.2010.
(o) Amalgamation of Public & Private
companies under section 394A
3.26 During the year 2009-10, 1141
applications were received under this Section,
while 140 were brought forward from the
previous year. Out of total of 1281 applications,
1134 were disposed of and 147 cases were under
examination as on 31.03.2010.
(p) Power to modify Act in its application
to NIDHI, etc. under section 620A
3.27.1 Under section 620A of the Companies
Act, 1956, the Central Government is empowered
to declare by notification in the official gazette
certain special type of Non-Banking Financial
Companies as Nidhi companies or Mutual
Benefit Societies as the case may be and direct
that certain provisions of the Companies Act,
1956 shall not apply and/or, as the case may be,
shall apply with certain exceptions, modifications
and adaptations to the said Nidhi companies.
The Central Government vide Notification GSR
522(E) dated 14.07.2009 declared 11 companies
as Nidhi Companies. With this, the total number
of Companies notified as Nidhi Companies is
now 368 as on 31.3.2010.
39
3.27.2 During the year 2008-09, the Central
Government received 12 applications under
section 620A of the Companies Act, 1956 while
6 applications were brought forward from the
previous year. Out of these 18 applications, 14
applications were disposed of and 4 applications
were under examination for approval of the
Central Government as on 31.3.20010.
(q) Applications under section 81(1)
and (3)
3.28 During the year 2009-10, no application
was received under section 81(1) and (3) for
further issue of share capital and no application
was pending as on 31.03.2009. Hence, no
application was pending as on 31.3.2010.
B. Applications/Appeals disposed of
by Company Law Board
3.29.1 Section 111 of the Companies Act, 1956
provides for transferors or transferees of shares in
a company to appeal to the Central Government
against the refusal of the company to register
the transfer or transmission of shares, or against
the failure within the prescribed time limit, to
register the transfer or transmission of shares,
or to intimate its refusal to register the transfer
or transmission of shares. Powers under this
Section are delegated to the Company Law Board
Benches.
3.29.2 As on 31st March, 2009, 174 appeals
under Section 111 were pending with the
Company Law Board. During the year 2009-10,
70 appeals were received. Thus 244 appeals were
considered during the year. Of these, 47 appeals
were disposed of and 197 appeals were pending
disposal for non-compliance of various formalities
as on 31.03.2010 as per the Companies (Appeals
to the Central Government) Rules, 1957.
 CHAPTER - IV
Corporate Management

Appointment of Managerial Personnel website of the Ministry was operationalised since

4.1.1 The Ministry of Corporate Affairs
deals with statutory applications relating to the
appointment of and payment of remuneration
to Managing Directors, Whole-time Directors
and Managers of Public Limited Companies
and of Private Limited Companies which are
subsidiaries of Public limited companies under
Section 259, 268, 269, 198/309, 310 and 314
of the Companies Act, 1956 in accordance with
provisions of Schedule XIII to the said Act, as
amended from time to time.
4.1.2 To bring greater transparency in
processing of various statutory applications, the
submission of applications on-line through the
September, 2006. The companies can also track
the status of their application on the website of
the Ministry.
4.1.3 It has been observed that applications
received are generally deficient in several
respects. In order to have complete information
at the initial stage itself, Form Nos. 25A and 24B
have been revised and notified to make them
more effective and to ensure speedy disposal of
applications.
4.1.4 The details of receipt and disposal of
statutory applications for the periods from
01.04.2009 to 31.03.2010 are given in Table 4.1
below:

Table 4.1
Applications on Managerial Appointment received and disposed of by the Central
Government during 01.04.2009 - 31.03.2010

Under Nature of Applications Brought Received Total Disposed Pending

Section forward during (Col. 3+4) of during as on
as on the year the year 31.03.2010
01.04.2009
(1) (2) (3) (4) (5) (6) (7)
259 Increase in number of 18 20 38 28 10
Directors
268 Amendment of provisions 20 4 24 5 19
in the Articles of
Association relating to
Managing Director or
Whole time Director.

40
 269/ A p p o i n t m e n t / 643 1320 1963 1126 837
Schedule reappointment of
XIII, Managing Director or
309(1)(b), Whole-time Directors/
309(4)/ managers, Remuneration
(5B), 310 to Directors for rendering
professional services,
Remuneration to Directors
other than Managing
Director or whole time
Director/waiver of sums
refundable to Directors
and Increase in the
remuneration of Director.
314(1B) Appointment/continuance 264 303 567 255 312
of relative of a Director
to hold any office or place
of profit in the company
which carries total
monthly remuneration of
not less than Rs. 50,000
per month.
Total 945 1647 2592 1414 1178

41
 CHAPTER V
Inspections, Investigations, Prosecutions, Oppression and
Mismanagement, Cost Audit, Investors Education and Protection
Fund, Investor Protection and Vanishing Companies.

Inspections of company stakeholders, or which

may adversely prejudice such
5.1.1 Section 209A of the Companies Act, interests, which may merit the
1956 empowers the Registrar of Companies company to be wound up on just and
or the officers duly authorised by the Central equitable grounds under the Act;
Government, to undertake inspection of
the books of accounts and other records of (v) whether statutory auditors have
companies. Several officers of the Ministry have carried out their duties properly
been authorised under this Section to undertake while certifying true and fair view of
inspections. the state of affairs of the company;
and
5.1.2 Broadly, inspections are undertaken to
serve one or more of the following objects: (vi) to examine legal action under
Companies Act if the company has
(i) to verify compliance by companies of made a default in filing its balance
various provision of the Companies sheet and profit and loss account
Act,1956; or annual return for any five
(ii) to verify whether the company consecutive financial years with the
accounts represent a true and fair Registrar.
picture of the companys finances
5.1.3 Inspections under Section 209A of the
and whether the same have been
Companies Act, 1956 of the books of accounts of
disclosed in a manner consistent
the company are generally ordered on the basis
with Companies Act;
of:
(iii) whether the companys funds
have been siphoned off, applied or (i) complaints received in the Ministry
diverted in a manner violative of the of Corporate Affairs or in its field
provision of the Act and whether the offices about mis-management in
company management has misused respect of maintenance of books of
its fiduciary position for any personal accounts as prescribed under Section
advantage in violation of the Act; 209 of the Act, delay in transfer of
share/debentures, delay in payment
(iv) whether there are acts of
of dividend, non-payment of
mis-management or oppression
deposits or interest thereon etc.;
which adversely affect the interest

42
 (ii) violations/irregularities noticed on
scrutiny of documents including
Auditors remarks filed in the office
of the Registrar of Companies; and
(iii) reference received from other Govt.
Departments/Agencies pointing
out violations of the provisions of
the Companies Act, 1956 or other
irregularities.
5.1.4 Details of the number of inspections
conducted and reports received by the Ministry
during last 4 financial years are as under:
Year Number
2006-07 220
2007-08 189
2008-09 207
2009-10 204
Follow up of the report of Joint
Parliamentary Committee (JPC) on
Stock Market Scam.
5.2 The Government had set up a Joint
Parliamentary Committee (JPC) to investigate
the Stock Market Scam. JPC submitted its report
in December 2002. The Ministry of Corporate
Affairs was asked to furnish Action Taken Report
on certain recommendations of the JPC concerning
this Ministry. Status reports in respect of points
concerning MCA are forwarded regularly to
JPC Cell in the Department of Economic Affairs
which is monitoring the follow up action on the
JPC Report from time to time.
Action taken under Section 237(b)
/388(b)/397/398/402/406/408 of the
Companies Act, 1956.
5.3.1 Section 397/398 of the Companies Act,
1956 provides power for filing of application
before Company Law Board for relief in cases of
oppression, mismanagement or apprehension of
mismanagement of the affairs of the Company.
Section 408 of the Act empowers the Central
Government to appoint such number of persons
on the Board of the company as directed by
Company Law Board on the reference/application
made by the Government to safeguard the interest
of the company or its shareholders or the general
public. In addition, the Central Government can
also file petitions under Section 402 read with
Section 406 of the Act for disgorgement of assets
against the Directors of the Company when they
indulged in misappropriation/misfeasance.
5.3.2 As on 31.3.2010, there were eight (8)
cases pending before Company Law Board/
High Court. The details of the same are given in
table 5.1.

Table 5.1
Details of cases pending before CLB/High Court as on 31.03.2010

Sl. Court Name of company Section Remarks

No.
1. Company UOI Vs. Satyam Computer Services 397/398/388B/ Pending
Law Board Ltd. 406&408
2. -do- UOI Vs. Maytas Infra Ltd. -do- -do-

43
 3. -do- UOI Vs. Maytas Properties Ltd. -do- -do-
4. -do- UOI Vs SHCIL Services Ltd. 250 -do-
5. High Court M/s Mukta Art Ltd. 237 (b) High Court
accepted the
appeal of the
company and
quashed the
order of CLB.
6. -do- M/s Eveready Industries Ltd. 397 Pending
7. -do- M/s Vikas WSP Ltd. 397 -do-
8. -do- M/s Satyam Computers Services Ltd. Writ -do-

Investigations to affect at least more than 5000

5.4.1 The Investigation cases of companies
u/s 235/237 of the Act are entrusted to the
Serious Fraud Investigation Office (SFIO) on the
following grounds/criteria:
(i) Where the size of the alleged fraud
is estimated to be at least Rs. 50
crore or more, or;
(ii) Paid-up capital of the company is
more than Rs. five crores, and 20%
or more capital is subscribed by the
public; or
(iii) When the alleged fraud involves
widespread public concern estimated
persons; or
(iv) Where investigation requires
specialized skills and multi-
disciplinary approach.
5.4.2 So far, 73 cases have been referred to
SFIO for investigation. Out of these, SFIO has
submitted investigation reports in 49 cases till
31.03.2010, two cases have either been stayed
or dismissed by Courts and the remaining 22
cases are under investigation. Till date, 774 cases
of prosecution have already been filed in the
different Courts against the persons involved in
fraudulent activities in the following companies
as indicated in Table 5.2.

Table 5.2

Sl.No Name of the Company No. of cases

Company Law IPC
1. M/s Daewoo Motors India Ltd. 21 2
2. M/s Manmandir Estate Developers Pvt. Ltd. 2 1
3. M/s Triumph Securities Ltd. 22 1

44
Sl.No Name of the Company No. of cases
Company Law IPC
4. M/s Nakshatra Software Pvt. Ltd. 17 2
5. M/s Chitrakoot Computers Pvt. Ltd. 16 2
6. M/s Design Auto Systems Ltd. 11 2
7. M/s Bonanza Biotech Ltd. 16 1
8. M/s Panther Fincap and Management Services Ltd. 24 2
9. M/s Panther Investrade Ltd. 14 1
10. M/s Panther Industrial Products Ltd. 25 0
11. M/s Saimangal Investrade Ltd. 18 1
12. M/s Triumph International Finance India Ltd. 10 2
13. M/s Goldfish Computers Pvt. Ltd. 22 1
14. M/s Luminant Investments Pvt. Ltd. 11 0
15. M/s Vatsa Corporations Ltd. 106 8
16. M/s Kolar Biotech Ltd 24 4
17. M/s Soundcraft Inds. Ltd. 35 9
18. M/s Adam Comsof Ltd. 21 4
19. M/s Usha India Ltd. 27 7
20. M/s Malvika Steels Ltd. 27 6
21. M/s N.H. Securities Ltd. 24 1
22. M/s V.N.P. Securities Pvt. Ltd. 12 0
23. M/s K.N.P. Securities Pvt. Ltd. 15 0
24. M/s Mardia Chemicals Ltd. 22 1
25. M/s Koshika Telecom Ltd. 41 3
26. M/s Morepen Laboratories Ltd. 12 5
27. M/s Classic Credit Ltd. 17 1
28. M/s Classic Shares and Stock Brokers Ltd. 36 0
29. M/s DSQ Software Ltd. 23 2
30. M/s Shonkh Technologies Ltd. 17 1
31. M/s Shonkh Technologies International Ltd. 9 0
32. M/s Satyam Computers Services Ltd. 7 0
Total 704 70

45
5.4.3 The Ministry of Corporate Affairs had
constituted an Expert Committee to advise the
Government on issues concerning the Serious
Fraud Investigation Office vide Order No.
2/1/2004. CL-V dated 23rd February 2006. The
Expert Committee has submitted its report on
29.04.2009 and the report is under examination
in the Ministry.
5.4.4 During the year 2009-10, the Ministry
has ordered/ referred Six (6) cases to SFIO for
investigation under Section 235/237(b)/247 of
the Companies Act, 1956. The Ministry has
received Thirteen (13) investigation report for the
period 01.04.2009 to 31.03.2010 as indicated in
table 5.3.

Table- 5.3
Details of investigation reports submitted during 1.4.2009 to 31.3.2010

Sl.No. Name of the Company Date of receipt of

investigation report

1. M/s Satyam Computers Services Ltd. 13.4.2009

2. M/s JVG Steels Ltd. 30.6.2009
3. M/s JVG Industries Ltd. 3.7.2009
4. M/s JVG Housing Finance Ltd. 13.7.2009
5. M/s JVG Farm Fresh Ltd. 3.8.2009
6. M/s JVG Overseas Ltd. 3.8.2009
7. M/s JVG Securities Ltd 10.8.2009
8. M/s Elder Pharmaceuticals Ltd. 10.8.2009
9. M/s JVG Leasing Ltd. 28.8.2009
10. M/s Krishi Export Commercial Corporation Ltd. 7.9.2009
11. M/s JVG Departmental Stores Ltd. 6.11.2009
12. M/s JVG Finance Ltd. 25.2.2010
13. M/s PSG Developers & Engineers Ltd. 17.3.2010

5.4.5 Details of progress of investigation as on of the Companies Act, 1956 by the Central
31.3.2010, against 22 companies including Six (6) Government under separate orders are given in
companies which were ordered for investigation table 5.4.
during the year under section 235/237(b)/247

46
 Table- 5.4

Sl No. Name of Company Date of Order Status

1. M/s Systems America (India) Ltd. 17-01-2008 Investigation
under progress
2. M/s AVI Telecom Ltd. 05/05/2009 -do-
3. M/s AVI Petroleum Ltd. -do- -do-
4. M/s AVI Packaging (India) Ltd. -do- -do-
5. M/s A&R Oil Mills Ltd. -do- -do-
6. M/s Rishi Spinners Ltd. -do-
7. M/s Rishi Financial Services Ltd. -do- -do-
8. M/s Rishi Oil & Fats Ltd. -do- -do-
9. M/s AVI Shoes Ltd. -do- -do-
10. M/s Zenet Software Ltd. 15-05-2008 -do-
11. M/s Sugandh Estates & Investments Pvt. Ltd. 16-05-2008 -do-
12. M/s Amadhi Investments Ltd. -do- -do-
13. M/s Welvet Financial Advisors Pvt. Ltd. -do- -do-
14 M/s PSG Developers & Engineers Ltd. -do- -do-
15. M/s Nicco Uco Alliance Credit Ltd. 05.08.2008 -do-
16. M/s Kuber Mutual Benefits Ltd. (in 09-09-2008 -do-
liquidation)
17. M/s Megacity (Bangalore) Developers and 17.04.2009 -do-
Builders Ltd.
18. M/s AVI Industries Ltd. 13.05.2009 -do-
19. M/s Information Technology (India) Ltd. 16.07.2009 -do-
20. M/s Sesa Goa Ltd. 23.10.2009 -do-
21. M/s Sesa Industries Ltd. 23.10.2009 -do-
22. M/s Austral Coke & projects Ltd. (Name 20.01.2010 -do-
changed as M/s Greenearth Resources &
Projects Ltd.)

Risk Management Technical Scrutiny has been developed to detect frauds/possible

under MCA-21
5.4.6 Ministry has implemented e-Governance
project under MCA-21 and it has become
Mandatory for the companies to file their returns/
documents through electronic process under
the MCA-21 system. An early warning system
violations of the Companies Act at infancy stage
and based on algorithm, Risk Management
Technical Scrutiny has been conducted. Under
the system, technical scrutiny of balance sheets
in respect of 149 companies was ordered. Reports
from ROCs were received in respect of 136
companies.

47
Prosecution
5.5.1 A total of 60303 prosecutions, launched
under the Companies Act, were pending in various
courts as on 31.3.2009 and 9021 prosecutions
(Table 5.5) were instituted during the year 2009-
10 against 3196 companies and their officers.
Thus, in all 69324 prosecutions were pursued
in the courts during 2009-10. Out of these, 7647
prosecutions were disposed of and 61677 were
pending at the end of the year. State-wise details
are given in the Statement XXIV.

Table - 5.5
Nature of Defaults and number of prosecutions
Filed during 2009-10

Sl. Section Nature of defaults Number of

No. of the Cases filed
Companies during the
Act, 1956 or year
a Rule
(1) (2) (3) (4)
1 21 Change of name by company 2
2 22 Rectification name of company 5
3 49 Investments of company to be held in its own name 1
4 58A(1) Acceptance of Deposits 13
5 58A(9) Default in repayment of Deposits 5
6 58AA(9) Intimation to CLB regarding default in repayment of deposits to small 2
Investors
7 63 Criminal liability for mis-statements in prospectus 7
8 68 Penalty for fraudulently inducing persons to invest money 6
9 94/95 Non filing of form No. 5 for increase of A/C 1
10 97 Notice of increase of share capital or of members 6
11 143 Companys register of charges 6
12 146 Registered office of company 46
13 147 Publication of name by company 11
14 149 Restrictions on commencement of business 1
15 150 Register of members 2
16 154 Power to close register of members or debenture holders 21
17 159/162 Annual return to be made by company having a share capital 3818
18 165/168 Statutory meeting and statutory report of company 12
19 166/168 Annual General Meeting 90

48
20 176(2) Notice of AGM was not made with reasonable prominence 2
21 192 Registration of Certain resolutions and agreements 2
22 193 Minutes of proceedings of general meetings and of Board and other 14
meetings
23 198 Overall maximum managerial remuneration and managerial 2
remuneration in case of absence or inadequacy of profits
24 205A Unpaid dividends to be transferred to special dividend account 2
25 209A Inspection of books of accounts etc. of companies 19
26 209A(5) Powers of the officer making an Inspection 8
27 209(3)(b) Non-keeping of books on accrual basis 17
28 210 Annual Accounts and balance sheets 134
29 211 Forms and contents of Balance sheets and profit and loss account 228
30 215 Authentication of B/S & P.L. A/C 3
31 217 Boards report 84
32 219 Right of member to copies of Balance Sheet and auditors report 1
33 220 Three copies of balance sheet etc. to be filed with Registrar 4089
34 224 Auditors duty 5
35 227(3)(d) Compliances of accounting standard 18
36 233 Penalty of non-compliance of auditor with sections 227 and 229. 142
37 234 Power of Registrar to call for information or explanation 25
38 252 Minimum number of Directors 2
39 257 Right of persons other than retiring directors to stand for 1
directorship
40 269 Appointment of managing or whole time director or manager to 6
require Government approval only in certain cases
41 274 Disqualification of Directors 2
42 285 Non meet of Board at least once in every three calendar months 2
43 292 Certain powers to be exercised by Board only at meeting 17
44 293 Restriction on power of Board 2
45 295 Loans to directors etc. 4
46 297 Boards sanction to be required for certain contracts in which particular 5
directors are interested
47 299 Disclosure of interests by director 7
48 300 Interested director not to participate or vote in Boards proceedings 3
49 301 Register of Contracts, companies and firms in which Directors are 7
interested
50 303 Register of Directors managing agents, secretaries and measurers 6
etc.
51 307 Register of Directors share holdings etc. 7

49
 52 314 Director etc. not to hold office or place of profit 1
53 372 Purchase of shares by company of other companies 4
54 383A Certain companies to have secretaries 13
55 614A Power of Courts trying offences under the Act to direct the filling of 1
documents with the Registrar
56 628 Penalty for false statements 14
57 629 Penalty for false evidence 1
58 629A Penalty where no specific penalty is provided elsewhere in the Act 4
59 Rule X Non filing of returns in form annex to rule 10 4
60 Others 58
Total 9021

5.5.2 Comparative data showing the years from 2005-06 to 2009-10 is given in
progress of prosecutions during the last five Table 5.6.

Table 5.6
Progress of Prosecutions: 2005-06 to 2009-10

Sl. Subject 2005-06 2006-07 2007-08 2008-09 2009-10

No.
(1) (2) (3) (4) (5) (6) (7)
1 Number of companies prosecuted during the year 1265 2668 2140 3616 3196
2 Number of prosecutions started during the year 5128 10601 17080 13971 9021
3 Number of prosecutions pending at the beginning of the 49061 45705 46837 54294 60303
year
4 Number of prosecutions disposed during the year 8484 8509 6993 10506 7647
5 Convictions 2686 2273 4272 3751 3716
6 Number of prosecutions ending in acquittals 185 310 226 165 417
7 Number of prosecutions withdrawn or otherwise disposed 1763 4576 2495 2540 3050
of (including condonations)
8 Number of prosecutions pending at the end of the year 45705 47797 54422 57759 61677
9 Total fine imposed ( in rupees) 7159012 5814261 11184020 11058647 9230317
10 Total amount awarded as cost to Registrar (in rupees) 2140825 2729661 3080607 3234539 2901472
11 Percentage of conviction to total cases decided 32 27 61 36 49
12 Average number of prosecutions per company prosecuted 7 3 3 3 2.4
13 Average fine imposed per case ending in conviction 2665.3 2557.97 2617.98 2948.18 2483.94
(in Rs.)

50
Oppression and Mismanagement
5.6 One application under section 399(4) of
the Companies Act, 1956 was pending at the end
of year 2008-09 relating to request and seeking
authorisation for filing petitions for prevention of
oppression and mismanagement and the same is
still pending. No new application as been received
during 2009-10.
Cost Audit
5.7.1 In exercise of the powers conferred by sub-
section (1) of Section 642 read with clause (d) of
sub-section (1) of Section 209 of the Companies
Act, 1956, the Central Government notifies the
Cost Accounting Records Rules (CARRs) from
time to time with respect to various industries and
products. All companies engaged in production,
processing, manufacturing or mining activities,
in respect of industries or products specified in
the Cost Accounting Record Rules, as applicable,
are required to keep at its registered office proper
books of account relating to utilisation of material
or labour or to other items of cost as prescribed
under the said Rules. Every company covered
under these Rules shall maintain cost accounting
records from the financial year on or after the
publication of these Rules. These rules do not
apply to a company:
a) wherein, the aggregate value of
machinery and plant installed as on
the last date of the preceding financial
year, does not exceed the limit as
specified for a small scale industrial
undertaking under the provisions
of Industries (Development and
Regulation) Act, 1951 (65 of 1951);
and
b) the aggregate value of the turnover
made by the company from sale or
51
supply of all its products or activities
during the preceding financial year
does not exceed ten crore of rupees.
5.7.2 The Cost Accounting Record Rules
(CARRs) prescribe the manner in which cost
records are to be maintained so as to have cost
data base to be primarily utilized by industries/
companies themselves to improve upon their
performance and face competitive environment
and also by various Government agencies like,
price-fixation authorities, regulatory bodies,
WTO implementation & monitoring agencies,
Competition Commission of India (CCI), revenue
authorities, and other institutions for meeting their
respective objectives. Cost Accounting Records
Rules have so far been notified in respect of 44
industries as indicated in Table 5.7.
5.7.3 Under sub section (1) of section 233B of
the Companies Act, 1956, cost audit orders are
issued on eligible companies, from time to time,
to get their cost records audited by a practicing
Cost Accountant, in accordance to the Cost
Audit Report Rules, 2001. Such orders are also
issued on companies arising out of mergers, de-
mergers, amalgamations, sale/transfer, change of
name, etc. During the period from April, 2009 to
March, 2010, cost audit orders were issued on 15
companies.
5.7.4 Consequent upon the launch of MCA-
21 Project under the e-Governance, companies
under cost audit have started filing applications
for appointment of cost auditors, through
electronic mode from April, 2006. In compliance
with Section 233(B) (2) of the Companies Act,
1956, 1656 applications were received through
e-mode for approval of appointment of cost
auditors during the period from April, 2009 to
March, 2010. Online approval process resulted
in reduction of processing time benefiting the
Government as well as the applicant companies
significantly. The companies find it very useful as
they can check the status of their applications and
take the print outs of the approvals online without
waiting for letter of approval from this office.
Cost involving dispatch time, postage stamps and
replies to queries from the companies has been
saved.
5.7.5 Similarly, companies/cost auditors have
also started filing the cost audit reports through
electronic mode from April, 2006. This has
dispensed with the requirement of wide space in
the form of record rooms for keeping hard and
soft copies of the reports as were received earlier.
It has also ensured proper safety of confidential
information of concerned companies. The
numbers of cost audit reports received during
April 2009 to March, 2010 were 3080.
5.7.6 The exemption from cost audit orders is
granted, on year-to-year basis, in situations arising
out of temporary closure of the company and/or its
manufacturing facilities, negligible production/
activity, etc. Similarly, withdrawal of cost audit
orders is considered in case of permanent closure
or sale or merger/amalgamation of production
activities for the product under reference. During
the period from April 2009 to March, 2010,
17 such cases of exemption/withdrawal were
received and processed.
5.7.7 During the year 2009-10, 56 cost
audit reports filed by the companies were
shared with various user departments such as,
Anti-dumping Directorate of the Ministry of
Commerce & Industries, Tariff Commission,
National Pharmaceuticals Pricing Authority, and
Competition Commission of India, etc.

Table 5.7
Industries in which Cost Accounting Record Rules notified
under Section 209(1)(d) of the Companies Act, 1956.

S. No. Name of the Industries S. No. Name of the Industries

1. Aluminum 12. Electric fans
2. Batteries-other than Dry Cell Batteries 13. Electricity Industry
3. Bearings 14. Electric Lamps
4. Bulk Drugs 15. Electric Motors
5. Cement 16. Electronic Products
6. Chemicals 17. Engineering Industries
7. Cosmetic & Toiletries 18. Fertilizers
8. Cycle 19. Footwear
9. Dry Cell batteries 20. Formulations
10. Dyes 21. Industrial Alcohol
11. Electric Cables and Conductors 22. Industrial Gases

52
 S. No. Name of the Industries S. No. Name of the Industries
23. Insecticides 34. Refrigerators
24. Jute goods 35. Room Air conditioners
25. Milk food 36. Shaving Systems
26. Mining and metallurgy 37. Soaps and Detergents
27. Motor vehicles 38. Steel Plants
28. Nylon 39. Steel tubes & pipes
29. Paper 40. Sugar
30. Petroleum Industry 41. Telecommunications
31. Plantation Products 42. Textiles
32. Polyester 43. Tyres and Tubes
33. Rayon 44. Vanaspati

Investor Education and Protection website www.watchutinvestors.

Fund (IEPF) com which covers all entities who
have been found to be guilty under
5.8.1 The Ministry of Corporate Affairs has different economic laws of the
established the Investor Education and Protection country.
Fund (IEPF) under the provisions of Section Providing online investor grievance
205C of the Companies Act, 1956 with the redressal facility through the website
objectives of promoting investor awareness and www.investorhelpline.com.
protection of their interests. Under this initiative, Undertaking investor awareness
the Ministry while promoting the concept programmes in partnership with
of prudent & informed investment decision Institute of Chartered Accountants
making, also provides services related to making of India (ICAI), Institute of
available informational and educational content Company Secretaries of India (ICSI)
for investors, investor grievance redressal and and Institute of Cost and Works
technical/ financial assistance to organizations Accountants of India (ICWAI)
engaged in investor education activities. The specifically targeting investors in
activities undertaken through the aegis of IEPF tier II and tier III cities.
include the following:- Providing
technical/ financial
assistance to voluntary
Providing (simple user friendly)
organaizations for undertaking
educational and awareness content
investor awareness related
to all the investors through the
activities.
website www.iepf.gov.in.
Undertaking multi-lingual media
Providing the material Registry of
campaigns to reach out to investor
economic offenders through the
across the country.

53
5.8.2 During the year 2009-10, investors
awareness programmes were organized at 238
locations by ICSI,ICAI and ICWAI.
5.8.3 The number of registered NGOs under
IEPF have increased from 69 to 106 upto 31st
March, 2010.
5.8.4 Series of advertisements on investor
education and awareness were issued in national
as well as regional language newspapers in the
month of December, 2009.
5.8.5 In order to reach out to the large majority
of Hindi speaking people in the country, the
Ministry launched its website www.iepf.gov.in
in Hindi on 26th March, 2010. This will help
large number of investors to understand their right
and responsibilities while making investment
decisions.
Investor Grievance Management Cell
5.9.1 Investor Grievance Management Cell
(IGMC), renamed from earlier Investor Protection
Cell (IPC), of the Ministry of Corporate Affairs,
was set up in 1993 to deal with investors
grievances. Its function is to take up the grievances
of investors through the jurisdictional Registrars
of Companies. It also coordinates with the
Reserve Bank of India, Department of Economic
Affairs and the Securities and Exchange Board
of India for redressal of Investrors complaints
received in this Ministry but pertaining to those
agencies. Broadly, the complaints relate to the
following issues.
1. Non- receipt of annual report
2. Non- receipt of dividend amount
3. Non- refund of application money
54
4. Non- payment of matured deposits
and interest thereon
5. Non- receipt of duplicate shares
6. Non- registration of transfer of
shares
7. Non- issue of share certificates
8. Non- receipt of debenture
certificates
9. Non- issue of rights bonus shares
10. Non- issue of interest on late
payment
11. Non- redemption of debentures and
interest thereon
12. Non- receipt of share certificates on
conversion
5.9.2 The investor/depositors can lodge
their complaints with concerned Registrar of
Companies on-line through MCA-21 program
using the website of the Ministry viz. www.mca.
gov.in. The system acknowledges the receipt
of complaint online by generating a complaint
number which can be used for future follow up of
the complaint.
5.9.3 In order to actively associate the field
offices in investor grievances redressal function,
a nodal team headed by a designated officer has
been set up in all offices of Regional Directors
and Registrars of Companies as well as at
Headquarters in the Ministry. The investors may
take up their grievances with the concerned Nodal
Officers at the Regional Level. If any investor has
any grievance which is yet to be redressed even
after a lapse of reasonable time, the same may
be brought to the notice of Nodal Officer at the
Ministry Level.
5.9.4 A website namely www.investorhelpline.
in has been sponsored and launched in September,
2006 under Investor Education and Protection
Fund and created by Midas Touch Investor
Association (NGO) to provide a mechanism for
redressal of grievances of investors free of cost.
It provides a facility to the investors to lodge
their grievance on the website. It acts as an
intermediary between investors and companies,
stock exchanges, and other authorities. It also
educates investors about their lawful right under
various acts and the procedure to get them
enforced.
5.9.5 Beside, a Website www.
watchoutinvestors.com has been created by
Prime Investors Protection Association and
League, with the financial assistance from
the Investor Education and Protection Fund,
to help the investors protect themselves from
unscrupulous promoters, companies and entities.
The website is a national registry of economic
defaulters and covers information on conviction
by various regulatory bodies.
Vanishing Companies
5.10.1 A Central coordination and Monitoring
Committee (CMC), co-chaired by Secretary,
Ministry of Corporate Affairs and Chairman,
SEBI has been set up to look into issues relating
55
to companies that had come out with public issue
and vanished and to monitor the progress of
action taken against them. Specific criteria have
been adopted by CMC for identification of such
vanishing companies.
5.10.2 Out of the companies that came out with the
IPOs during 1992-2005, a total of 238 companies
were identified as vanishing companies. With the
continuous efforts of the Ministry, 119 companies
have been traced back, resulting in the number of
vanishing companies being reduced to 119. CMC
in its meeting held on 8.3.2010 has decided to
delete the names of vanishing companies under
liquidation from the list of vanishing companies as
the regulatory action against such companies lies
within the jurisdiction of High Courts. There were
32 vanishing companies under liquidation on the
date of aforesaid meeting, resulting in the number
of vanishing companies being reduced to 87.
Hence, it may be appreciated that the instrument
of setting up of the CMC and its functioning has
been successful in effectively controlling the
phenomenon of vanishing companies.
5.10.3 The Ministry is making all efforts to
ensure that the complaints filed against the
vanishing companies and its promoters/directors
under the various provisions of the Companies
Act, 1956 and under IPC, are taken to their logical
conclusion at different forums.
 CHAPTER VI
Liquidation of Companies

Applications received & disposed of by
Official Liquidators
6.1 6155 companies were under liquidation
as on 31.03.2009 and 225 companies were taken
into liquidation from 01.04.2009 to 31.03.2010.
After taking into account 261 companies finally
wound up, the total numbers of companies
under liquidation as on 31.03.2010 were 6119.
The distribution of companies in liquidation by
their mode of winding up from 01.04.2009 to
31.03.2010 is given in table 6.1:-

Table 6.1
Cases regarding Winding up/Liquidation

Sl. Subject / Mode Pending Received Total Disposed Pending

No. as on during Col- of during as on
31.3.2009 the period (3)+(4) the period 31.03.2010
1.4.2009 to 1.4.2009 to Col- (5)-(6)
31.03.2010 31.03.2010
(1) (2) (3) (4) (5) (6) (7)
1. Members Voluntary 1282 81 1363 132 1231
winding up

2. Creditors Voluntary 112 4 116 16 100

winding up
3. Winding up by 4758 140 4898 113 4785
Court
4 Winding up subject 03 0 03 0 03
to supervision of
Court.
Total 6155 225 6380 261 6119

56
 CHAPTER - VII
Mobilization of funds through various sources by the corporate sector

Resources Raised by Corporate Sector indicating an increasing preference for Private

7.1.1 During the period 2005-06 to 2009-10,
resources raised through equity issues increased
considerably i.e from Rs. 27372 Crore in 2005-
06 to Rs. 55055 crore in 2009 -10 (an increase of
Rs. 27683 crore). Resources mobilized through
Public and Rights Issue of Debt Issues increased
to Rs. 2500 crore in 2009-10 as per provisional
estimates, as against Rs. 1500 crore in 2008-09.
However, resources raised through Public and
Rights Issue of Debt Issues is fluctuating very
much from only Rs. 10 crore in 2005-06 to a high
of 7290 crore in 2007-08. Resources mobilized
through Private placement of Debt Issues increased
from Rs. 96473 in 2005-06 to Rs.212725 crore
in 2007-08 (i.e an increase of Rs. 116252 crore)
Placement of Debt Issues. However, the same
resources decreased to Rs.202745 in the year
2008-09 from Rs. 212725 crore in the year 2007-
08. As per provisional estimates, the resources
mobilized through Private Placement increased
to Rs. 212635 crore in 2009-10 from Rs. 202745
crore in the previous year. In aggregate, there is
an increase in the total resource mobilization by
Corporate Sector to the extent of Rs.51673 crore
in the year 2009-10 as per provisional estimates,
as compared to previous year comprising of
an increase of Rs.40783 crore in equity issues
and balance of Rs.10890 crore in debt issues.
Resources raised by corporate sector during the
last five years from 2005-06 to 2009-10 is given
in Table 7.1.

Table 7.1
Resources Raised by Corporate Sector
(Rs. crore)
Year Equity Issues* Debt Issues Total Resource
Public and Right Private Mobilisation
Issues Placements ** (Col. 2+3+4)
(1) (2) (3) (4) (5)
2005-06 27372 10 96473 123855
2006-07 32901 605 145571 179078
2007-08 79739 7290 212725 299754
2008-09 14272 1500 202745 218517
2009-10(P) 55055 2500 212635# 270190

P: Provisional
* Includes CCPS and Offer for Sale.
** Includes negligible amount of equity.
# The data pertains to listed (BSE+NSE) Corporate Debt Issues which are privately placed
and accordingly the data is computed for the year 2009-10.
Source: RBI, SEBI.

57
 Graph 7.1

7.1.2 Resources mobilized through new
capital issues by Non-Government Public Ltd
Companies has increased from Rs.10264 crore
in 2005-06 to Rs. 37088 crore in 2007-08 ( i.e
an increase by Rs.26824 crore). However, the
resources mobilized through new Capital Issues
drastically decreased to Rs. 2033 crore in the
year 2008-09. As per provisional estimates, the
resources mobilized through new Capital Issues
increased to Rs. 14595 crore in 2009-10 from
Rs. 2033 crore in the previous year. Resources
mobilized through new Capital Issues during the
last five years from 2005-06 to 2009-10 is given
in Table 7.2.

Table 7.2
New Capital Issues by Non-Government Public Limited Companies
(Rs. crore)

Year Total No. of Issues Amount No. of New Issues Amount

(1) (2) (3) (4) (5)
2005-06 131 21154 77 10264
2006-07 117 30603 72 25662
2007-08 115 63638 80 37088
2008-09 45 14671 21 2033
2009-10(P) 68 25479 36 14595

P: Provisional
Source: RBI

58
 Graph 7.2(i)
Graph 7.2(ii)
7.1.3 Resource mobilization from Primary
market increased from Rs. 27382 crore in 2005-
06 to Rs.87029 crore in 2007-08 (i.e an increase of
Rs. 59647 crore). However, resources mobilized
from Primary market reduced to Rs.16220 crore
in the year 2008-09 from Rs. 87029 crore in the
previous year (a reduction of Rs. 70809 crore). As
per provisional estimates, the resources mobilized
59
from Primary market increased to Rs. 57555 crore
in 2009-10 from Rs. 16220 crore in the previous
year. The resources mobilized through public
and the existing (i.e Rights Issues) shareholders
of the companies also increased from Rs. 23294
crore in 2005-06 to Rs 54511 crore in 2007-08
for Public Issues and from Rs. 4088 crore in
2005-06 to Rs. 32518 crore in 2007-08 under
Rights Issues. However, it may be observed that
resources mobilized through Public Issue reduced
to Rs. 3582 crore in 2008-09 from Rs. 54511
crore in the previous year (reduction of Rs.50929
crore) while resources mobilized through Rights
Issue reduced to Rs. 12637 crore from Rs. 32,518
crore in the previous year (reduction of Rs. 19881
crore). As per provisional estimates, the resources
mobilized through Public Issue increased to Rs
49236 crore in 2009-10 from 3582 in the previous
year while resources mobilized through Rights
Issue further decreased to Rs. 8319 in 2009-10
from Rs. 12637 crore in the previous year. It may
be observed that in the year 2008-09, number
of issues by the listed companies declined and
actual resource mobilization also declined
considerably as compared to the previous year.
Similarly, resources mobilised through Initial
Public Offers (IPOs) also declined considerably
in the year 2008-09 as compared to the previous
year. However, as per provisional estimates,
the number of issues by the listed companies
increased to 34 and resource mobilization also
increased to Rs. 30359 crore in 2009-10 from 25
numbers of issues and resource mobilization of
Rs. 12637 crore in the previous year. Similarly, the
number of Initial Public Offers (IPOs) increased
to 39 and resource mobilization also increased to
Rs. 24696 crore in 2009-10 from 21 numbers of
IPOs and resource mobilization of Rs. 2082 crore
in the previous year. During the five year period
from 2005-06 to 2009-10, while the number of
equity issues at premium decreased by 57, the
amount raised through Equity Issues at premium
increased by Rs. 27866 crore. However, during the
same period, the number and amount of resources
mobilized through equity issues at par decreased
by 9 and Rs. 363 crore respectively. Resources
mobilized from primary market during the last
five years from 2005-06 to 2009-10 is given in
Table 7.3.

Table 7.3
Resources Mobilized from Primary Market
(Rs. crore)

Year Total No of Category-wise Issuer Type Equities

Issues
(1) (2) (3) (4) (5)

Public Issue Rights Issue Listed 4(a) IPOs 4(b) At Par 5(a) At Premium 5(b)
3(a) 3(b)
No Amt No Amt No Amt No Amt No Amt No Amt No Amt
2005-06 139 27382 103 23294 36 4088 60 16446 79 10936 10 372 128 27000
2006-07 124 33508 85 29796 39 3710 47 5002 77 28504 2 12 119 32889
2007-08 124 87029 92 54511 32 32518 39 44434 85 42595 7 387 113 79352
2008-09 47 16220 22 3582 25 12637 25 12637 21 2082 5 96 40 14176
2009-10(P) 76 57555 47 49236 29 8319 34 30359 39 24696 1 9 71 54866

Note:- Instrument-wise break-up may not tally to the total number of issues, as for one issue there could be more than
one instrument.
P : Provisional
Source: SEBI

60
 Graph 7.3 (i)
Graph 7.3 (ii)
7.1.4 Industry wise Classification of Capital
raised during the last three years from 2007-08 to
2009-10 is given in Table 7.4. It may be observed
that resources raised by Banking Industry/FI in
2009-10 increased to Rs. 639 crore as compared
to Rs. Zero in the previous year. Resources raised
61
by Cement & Construction Industries in 2009-
10 increased by Rs. 2700 crore as compared
to 2008-09 and in Power Industry resources
raised in 2009-10 increased by Rs. 24335 crore
as compared to 2008-09. Telecommunication
Industry could not raise any resouces in 2009-10
as against Rs. 100 crore raised in the previous was increase in resource mobilization in all other
year. With the exception of Chemicals, Printing, Industries in 2009-10 as compared to previous
Telecommunication and Textiles Industries there year.

Table 7.4
Industry wise Classification of Capital Raised
(Rs. crore)

Sl.No. Industry 2007-08 2008-09 2009-10

(1) (2) (3) (4) (5)
No. Amount No. Amount No. Amount
1. Banking/FIs 6 30955 0 0 3 639
2. Cement & 27 18905 3 80 8 2780
Construction
3. Chemical 8 661 4 218 1 36
4. Electronics 4 684 0 0 1 1156
5. Engineering 5 378 0 0 1 50
6. Entertainment 2 403 2 1156 9 2461
7. Finance 7 1773 2 466 2 1826
8. Food Processing 2 100 0 0 2 443
9. Healthcare 3 542 3 144 3 1059
10. Information 10 691 1 42 6 540
Technology
11. Paper & Pulp 1 35 0 0 1 35
12. Plastic 5 211 0 0 1 39
13. Power 4 13709 2 958 6 25293
14. Printing 0 0 0 0 0 0
15. Telecommunication 2 1000 2 100 0 0
16. Textiles 7 442 5 710 3 237
17. Others 31 16541 22 10845 26 18461
Total 124 87030 46 14719 73 55055

Source: SEBI

62
 Graph 7.4(i)
Graph 7.4(ii)
7.1.5 Size-wise Classification of Capital raised
during the last five years from 2005-06 to 2009-10
is given in Table 7.5. Higher resource mobilization
is observed for large issues. An amount of Rs
84418 crore was collected by the companies
through issue size exceeding Rs.100 crore during
2007-08 as against Rs. 23815 crore was raised
63
during 2005-06 under the same category. Capital
raised through issue size exceeding Rs. 100 crore
drastically decreased to Rs. 13756 crore in 2008-
09. However, capital raised through issue size
exceeding Rs. 100 crore increased to Rs. 53798
crore in 2009-10. Amount raised through issue
size of Rs.10 crore-<50 crore and Rs.50 crore-
<100 crore during the period 2007-08 were Rs.
920 crore and 1669 crore respectively. Amount
raised through issue size of Rs.10 crore-<50crore
and Rs.50 crore-<100 crore during the year 2008-
09 decreased to Rs. 509 core and Rs. 445 crore
respectively. However, during the year 2009-10
amount raised through issue size of Rs.10 crore-
<50 crore and Rs.50 crore-<100 crore slightly
increased to Rs. 596 crore and Rs. 636 crore
respectively in comparision to the previous year.
It may be observed that small sized issues are not
encouraging as in 2009-10 there was only 1 issue
by companies in the category of less than Rs 5
crore and 3 issues in the category of Rs. 5 crore-
<Rs. 10 crore.

Table 7.5
Size-wise Classification of Capital Raised
(Rs. crore)

Year Total <5cr <5cr-<10cr 10cr-<50cr 50cr-<100cr >100cr.

(1) (2) (3) (4) (5) (6) (7)
No Amt.* No Amt.* No Amt.* No Amt.* NO Amt.* No Amt.*
2005-06 136 27382 6 20 4 32 47 1325 33 2189 49 23815
2006-07 124 33508 3 10 6 45 40 1129 31 2386 44 29938
2007-08 124 87029 4 16 1 6 33 920 25 1669 61 84418
2008-09 46 14720 1 3 1 7 21 509 6 445 17 13756
2009-10 73 55055 1 2 3 23 18 596 9 636 42 53798

Source: SEBI
Amt.*= Amount

Graph 7.5 (i)

64
 Graph 7.5 (ii)

7.1.6 Sector-wise and Regionwise distribution
of Capital Mobilized during the last five years
from 2005-06 to 2009-10 is given in Table 7.6.
It is observed that during the year 2009-10, there
is significant increase in resources mobilized by
both the Private Sector and Public Sector by Rs
40335 crore comprising of Rs. 9218 in the Private
Sector and Rs. 31117 crore in the Public sector.
Regarding the increase in resources mobilized by
various regions, the highest increase is observed
for Northern Region (NR) (i.e. Rs. 23312 crore)
followed by Southern Region (SR) (Rs. 9070
crore), Western Region (WR) (Rs. 4094 crores)
and in Eastern Region (ER) (Rs. 3860 crore).
About 44.9% of the resource mobilization is
from Northern Region (NR) followed by Western
Region (WR) (27.8%), Southern Region (SR)
(19.7%) and the balance of 7.6% by Eastern
Region (ER). It may also be observed that in
the year 2009-10, the share of Public Sector in
the total resource mobilization has been 56.5%
where as there was no mobilization of resources
from Public Sector in the previous year.

Table 7.6
Sector-wise and Region wise Distribution of Capital Mobilized
(Rs. crore)
Year Total Sector-wise Region -wise
(1) (2) (3) (4)
Private Public Northern Eastern Western Southern
3(a) 3(b) 4(a) 4(b) 4( c ) 4(d)
No Amt.* No Amt.* No Amt.* No Amt.* No Amt* No Amt.* No Amt.*
2005-06 139 27382 131 20199 8 7183 30 5389 13 1495 56 14963 40 5535
2006-07 124 33508 122 31728 2 1779 28 3673 5 165 55 22964 36 6706
2007-08 124 87029 120 67311 4 19718 22 16526 11 1093 55 64139 36 5270
2008-09 46 14720 46 14720 0 0 5 1402 5 315 21 11202 15 1800
2009-10 73 55055 67 23938 6 31117 17 24714 10 4175 35 15296 11 10870

Amt.*= Amount
Source: SEBI

65
Graph 7.6 (i)

Graph 7.6 (ii)

Graph 7.6 (iii)

66
 Graph 7.6 (iv)

7.1.7 Foreign Investment Inflows in India given in Table 7.7.

during the years from 2005-06 to 2009-10 is

Table 7.7
Foreign Investment Inflows

Year Total (A+B) A. Direct Investment B. Portfolio Investment

(Rs.Crore) (US $ (Rs.Crore) (US $ (Rs.Crore) (US $
Million) Million) Million)
(1) (2) (3) (4) (5) (6) (7)
2005-06 94981 21453 39674 8961 55307 12492
2006-07 135080 29829 103367 22826 31713 7003
2007-08 249921 62106 140180 34835 109741 27271
2008-09(P) 97918 21325 161536 35180 (-)63618 (-)13855
2009-10(P) 329815 69557 176304 37182 153511 32375

P: Provisional
Note:- 1. Data include acquisition of shares of Indian Companies by non-residents under section 6 of FEMA, 1999.
Data on such acquisitions are included as part of FDI since January, 1996.
2. Data on FDI have been revised since 2000-01 with expanded coverage to approach international best
practices.
3. Negative (-) sign indicates outflow.
4. Direct investment data for 2006-07 include swap of shares of 3.1 billion.
Source: RBI

67
 Graph 7.7

7.1.8 Trends in FII Investment in India is given in Table 7.8.

during the years from 2005-06 to 2009-10(P)

Table 7.8
Trends in Foreign Institutional Investors Investment

Year Gross Gross Sales Net Net Cumulative Net

Purchases (Rs. Crore) Investment investment* Investment*
(Rs. Crore) (Rs.Crore) (US $ mn.) (US $ mn.)
(1) (2) (3) (4) (5) (6)
2005-06 346976 305509 41467 9363 45657
2006-07 520506 489665 30841 6821 52477
2007-08 948018 881839 66179 16442 68919
2008-09 614579 660389 (-)45811 (-)9837 59081
2009-10(P) 846437 703779 142658 30252 89333

P: Provisional
*Conversion rate is daily RBI reference rate.
Source: SEBI

68
Graph 7.8

69
 CHAPTER - VIII
Financial Aggregates of Corporate Sector
8.1.1 Corporate sector today is one of the
major driving forces of economic development
of the country. The growing importance of
corporate sector demands greater transparency
and availability of corporate data in terms of
comprehensiveness, reliability and timeliness.
The corporate sector is studied for various
aspects like its size and composition, growth &
restructuring and financial performance focusing
on capital structure, profitability measures and
debt repayment capacity to ascertain financial
vulnerability of Indian companies. It is also studied
to assess the impact of regulatory framework which
enables to introduce further reforms in regulation
of companies. Further, the growth potential of
a country is measured through the estimates
of gross domestic saving and investment. The
estimate of Gross Domestic Saving (GDS) for
the Indian economy is compiled for three major
institutional sectors viz., public sector, private
corporate sector and household sector wherein
the contribution of private corporate sector was
15 to 17 percent during the tenth plan period.
8.1.2 With the launch of MCA21, the
e-governance programme of the Ministry, a huge
data repository has been created as a by product
of the services provided by the Ministry. A major
drive has been taken up to clean, correct and
validate the database which has been built up
progressively due to e-filing being mandated and
transfer of legacy documents forming a part of
70
electronic registry. Having overcome the initial
problems of making the e-governance system
operational, the focus of the Ministry is now
on the data management, mining and its value
exploitation by way of introduction of value
added series.
8.1.3 As an initial step in this direction, the paid
up capital, one of the important and extensively
used population parameter of the sector in
estimating other financial indicators, has been
compiled using the MCA21 data repository.
Methodology
8.2 All companies limited by shares
registered under Companies Act, 1956 are
required to file their Annual Returns under section
159 and Balance Sheet under Section 220 of the
Companies Act. Since the launch of MCA21 and
e-filing having been mandated these documents
are filed electronically. The financial parameters
contained in these documents are captured from
the relevant documents and accompanying
attachments. To estimate Paid up capital for
2009-10, data of 640842 companies, as available
in the electronic registry, was consolidated and
aggregated at state as well as industrial activity
level. The aggregation is done separately for both
public and private companies within government
and non government categories. The detailed
tables are shown in Statements XII to XXIII.
 Appendix
Statistical Statements

(i to xxiv)
 STATEMENT - I
Registration of New Companies Limited by Shares during 2009-10:
(Region/State-wise Distributiton)
(Rs. crore)
Region/State No. of Companies Authorised Capital
Public Private Total Public Private Total
Limited Limited Limited Limited
(1) (2) (3) (4) (5) (6) (7)
NORTHERN REGION
HARYANA 40 1287 1327 135.97 377.67 513.64
HIMACHAL PRADESH 4 249 253 55.08 25.17 80.25
JAMMU & KASHMIR 1 135 136 0.05 42.57 42.62
PUNJAB 56 970 1026 50.36 160.54 210.9
RAJASTHAN 85 2703 2788 115.67 202.69 318.36
UTTAR PRADESH 112 2813 2925 782.16 381.85 1164.01
UTTRAKHAND 6 286 292 3.06 57.33 60.39
CHANDIGARH 19 528 547 17.40 108.18 125.58
DELHI 295 11445 11740 1143.56 2964.83 4108.39
Total 618 20416 21034 2303.31 4320.83 6624.14
EASTERN REGION
ARUNACHAL PRADESH 5 25 30 16.10 34.42 50.52
ASSAM 57 806 863 13.13 139.38 152.51
BIHAR 33 1053 1086 339.60 115.24 454.84
JHARKHAND 8 531 539 213.75 119.87 333.62
MANIPUR 1 12 13 230.00 2.02 232.02
MEGHALAYA 13 34 47 3317.95 7.42 3325.37
MIZORAM 0 3 3 0.00 0.20 0.20
NAGALAND 0 12 12 0.00 13.53 13.53
ORISSA 66 1006 1072 172.51 284.01 456.52
TRIPURA 3 28 31 1.10 23.42 24.52
WEST BENGAL 331 9815 10146 833.83 1488.31 2322.14
Total 517 13325 13842 5137.97 2227.82 7365.79
WESTERN REGION
CHHATISGARH 38 527 565 28.81 135.92 164.73
GUJARAT 102 3426 3528 683.89 1117.25 1801.14
MADHYA PRADESH 91 1428 1519 65.66 230.39 296.05
MAHARASHTRA 350 11719 12069 8864.61 3909.85 12774.46
DADRA & N HAVELI 2 24 26 70.00 1.54 71.54
DAMAN & DIU 1 8 9 0.05 31.79 31.84
GOA 5 281 286 22.15 219.95 242.10
Total 589 17413 18002 9735.17 5646.69 15381.86
SOUTHERN REGION
A & N ISLAND 0 25 25 0.00 2.38 2.38
ANDHRA PRADESH 90 4374 4464 143.44 1061.91 1205.35
KARNATAKA 36 3499 3535 2042.71 832.92 2875.63
KERALA 45 1713 1758 1133.36 232.84 1366.20
TAMIL NADU 136 4610 4746 5464.53 1492.94 6957.47
PUDUCHERRY 0 160 160 0.00 17.93 17.93
LAKSHDWEEP 0 4 4 0.00 0.08 0.08
Total 307 14385 14692 8784.04 3641.00 12425.04
Grand Total 2031 65539 67570 25960.49 15836.34 41796.83

73
 STATEMENT- II
Registration of New Government Companies Limited by Shares during 2009-10:
(Region/State-wise Distribution)
(Rs. crore)
Region/State No. of Companies Authorised Capital
Public Private Total Public Private Total
Limited Limited Limited Limited
(1) (2) (3) (4) (5) (6) (7)
NORTHERN REGION
HARYANA 0 0 0 0.00 0.00 0.00
HIMACHAL PRADESH 0 1 1 0.00 5.00 5.00
JAMMU & KASHMIR 0 0 0 0.00 0.00 0.00
PUNJAB 0 1 1 0.00 0.50 0.50
RAJASTHAN 5 0 5 100.20 0.00 100.20
UTTAR PRADESH 5 0 5 639.00 0.00 639.00
UTTRAKHAND 0 0 0 0.00 0.00 0.00
CHANDIGARH 0 1 1 0.00 20.00 20.00
DELHI 8 0 8 10.80 0.00 10.80
Total 18 3 21 750.00 25.50 775.50
EASTERN REGION
ARUNACHAL PRADESH 0 0 0 0.00 0.00 0.00
ASSAM 1 0 1 0.05 0.00 0.05
BIHAR 3 0 3 330.00 0.00 330.00
JHARKHAND 1 0 1 10.00 0.00 10.00
MANIPUR 1 0 1 230.00 0.00 230.00
MEGHALAYA 4 0 4 3300.00 0.00 3300.00
MIZORAM 0 0 0 0.00 0.00 0.00
NAGALAND 0 0 0 0.00 0.00 0.00
ORISSA 0 1 1 0.00 0.05 0.05
TRIPURA 0 2 2 0.00 20.00 20.00
WEST BENGAL 2 0 2 105.00 0.00 105.00
Total 12 3 15 3975.05 20.05 3995.10
WESTERN REGION
CHHATISGARH 0 0 0 0.00 0.00 0.00
GUJARAT 3 0 3 202.10 0.00 202.10
MADHYA PRADESH 1 8 9 0.15 75.00 75.15
MAHARASHTRA 3 1 4 5.15 1.00 6.15
DADRA & N HAVELI 0 0 0 0.00 0.00 0.00
DAMAN & DIU 0 0 0 0.00 0.00 0.00
GOA 0 0 0 0.00 0.00 0.00
Total 7 9 16 207.40 76.00 283.40
SOUTHERN REGION
A & N ISLAND 0 0 0 0.00 0.00 0.00
ANDHRA PRADESH 0 2 2 0.00 10.00 10.00
KARNATAKA 1 1 2 0.25 0.00 0.25
KERALA 0 2 2 0.00 2.00 2.00
TAMIL NADU 3 0 3 15.00 0.00 15.00
PUDUCHERRY 0 0 0 0.00 0.00 0.00
LAKSHDWEEP 0 0 0 0.00 0.00 0.00
Total 4 5 9 15.25 12.00 27.25
Grand Total 41 20 61 4947.70 133.55 5081.25

74
 STATEMENT - III
Registration of New Non-Government Companies Limited by Shares during 2009-10:
(Region/State-wise Distribution)
(Rs. crore)
Region/State No. of Companies Authorised Capital
Public Private Total Public Private Total
Limited Limited Limited Limited
(1) (2) (3) (4) (5) (6) (7)
NORTHERN REGION
HARYANA 40 1287 1327 135.97 377.67 513.64
HIMACHAL PRADESH 4 248 252 55.08 20.17 75.25
JAMMU & KASHMIR 1 135 136 0.05 42.57 42.62
PUNJAB 56 969 1025 50.36 160.04 210.40
RAJASTHAN 80 2703 2783 15.47 202.69 218.16
UTTAR PRADESH 107 2813 2920 143.16 381.85 525.01
UTTRAKHAND 6 286 292 3.06 57.33 60.39
CHANDIGARH 19 527 546 17.40 88.18 105.58
DELHI 287 11445 11732 1132.76 2964.83 4097.59
Total 600 20413 21013 1553.31 4295.33 5848.64
EASTERN REGION
ARUNACHAL PRADESH 5 25 30 16.10 34.42 50.52
ASSAM 56 806 862 13.08 139.38 152.46
BIHAR 30 1053 1083 9.60 115.24 124.84
JHARKHAND 7 531 538 203.75 119.87 323.62
MANIPUR 0 12 12 0.00 2.02 2.02
MEGHALAYA 9 34 43 17.95 7.42 25.37
MIZORAM 0 3 3 0.00 0.20 0.20
NAGALAND 0 12 12 0.00 13.53 13.53
ORISSA 66 1005 1071 172.51 283.96 456.47
TRIPURA 3 26 29 1.10 3.42 4.52
WEST BENGAL 329 9815 10144 728.83 1488.31 2217.14
Total 505 13322 13827 1162.92 2207.77 3370.69
WESTERN REGION
CHHATISGARH 38 527 565 28.81 135.92 164.73
GUJARAT 99 3426 3525 481.79 1117.25 1599.04
MADHYA PRADESH 90 1420 1510 65.51 155.39 220.90
MAHARASHTRA 347 11718 12065 8859.46 3908.85 12768.31
DADRA & N HAVELI 2 24 26 70.00 1.54 71.54
DAMAN & DIU 1 8 9 0.05 31.79 31.84
GOA 5 281 286 22.15 219.95 242.10
Total 582 17404 17986 9527.77 5570.69 15098.46
SOUTHERN REGION
A & N ISLAND 0 25 25 0.00 2.38 2.38
ANDHRA PRADESH 90 4372 4462 143.44 1051.91 1195.35
KARNATAKA 35 3498 3533 2042.46 832.92 2875.38
KERALA 45 1711 1756 1133.36 230.84 1364.20
TAMIL NADU 133 4610 4743 5449.53 1492.94 6942.47
PUDUCHERRY 0 160 160 0.00 17.93 17.93
LAKSHDWEEP 0 4 4 0.00 0.08 0.08
Total 303 14380 14683 8768.79 3629.00 12397.79
Grand Total 1990 65519 67509 21012.79 15702.79 36715.58

75
 STATEMENT - IV
Non-Government Companies which ceased working:
(both liquidated and struck-off during 2009-10):
(Region/State-wise Distribution)
(Rs. crore)
Region/State No. of Companies Paid up Capital
Public Private Total Public Private Total
Limited Limited Limited Limited
(1) (2) (3) (4) (5) (6) (7)
NORTHERN REGION
HARYANA 5 19 24 0.00 0.12 0.12
HIMACHAL PRADESH 10 31 41 1.08 0.72 1.80
JAMMU & KASHMIR 0 0 0 0.00 0.00 0.00
PUNJAB 84 234 318 22.16 17.71 39.87
RAJASTHAN 48 406 454 1.69 3.52 5.21
UTTAR PRADESH 7 35 42 6.41 3.80 10.21
UTTRAKHAND 0 4 4 0.00 0.81 0.81
CHANDIGARH 67 127 194 3.53 3.10 6.63
DELHI 7 66 73 2.18 0.95 3.13
Total 228 922 1150 37.05 30.73 67.78
EASTERN REGION
ARUNACHAL PRADESH 0 0 0 0.00 0.00 0.00
ASSAM 0 1 1 0.00 0.01 0.01
BIHAR 7 19 26 0.02 0.55 0.57
JHARKHAND 1 5 6 0.00 0.03 0.03
MANIPUR 0 0 0 0.00 0.00 0.00
MEGHALAYA 0 0 0 0.00 0.00 0.00
MIZORAM 0 0 0 0.00 0.00 0.00
NAGALAND 0 0 0 0.00 0.00 0.00
ORISSA 12 108 120 0.60 1.57 2.17
TRIPURA 0 0 0 0.00 0.00 0.00
WEST BENGAL 656 2890 3546 47.26 460.04 507.30
Total 676 3023 3699 47.88 462.20 510.08
WESTERN REGION
CHHATISGARH 0 0 0 0.00 0.00 0.00
GUJARAT 0 3 3 0.00 0.55 0.55
MADHYA PRADESH 0 0 0 0.00 0.00 0.00
MAHARASHTRA 8 6988 6996 0.00 11.05 11.05
DADRA & N HAVELI 0 0 0 0.00 0.00 0.00
DAMAN & DIU 0 0 0 0.00 0.00 0.00
Goa 1 2 3 0.00 0.20 0.20
Total 9 6993 7002 0.00 11.80 11.80
SOUTHERN REGION
A & N ISLAND 0 0 0 0.00 0.00 0.00
ANDHRA PRADESH 0 0 0 0.00 0.00 0.00
KARNATAKA 8 92 100 1.23 3.96 5.19
KERALA 5 191 196 0.28 4.26 4.54
TAMIL NADU 104 638 742 3.72 5.27 8.99
PUDUCHERRY 0 1 1 0.00 0.01 0.01
LAKSHDWEEP 0 0 0 0.00 0.00 0.00
Total 117 922 1039 5.23 13.50 18.73
Grand Total 1030 11860 12890 90.16 518.23 608.39

76
 STATEMENT - V
Companies Limited by Shares at work as on 31st March, 2010:
(State-wise Distribution)

Sl. No. STATE / UT No. of Companies

Public Limited Private Limited Total
(1) (2) (3) (4) (5)
1 ANDHRA PRADESH 6827 55601 62428
2 ARUNACHAL PRADESH 29 281 310
3 ASSAM 700 5593 6293
4 BIHAR 1214 8083 9297
5 CHHATISGARH 362 3488 3850
6 GOA 250 4933 5183
7 GUJARAT 5906 42271 48177
8 HARYANA 1019 8930 9949
9 HIMACHAL PRADESH 323 2361 2684
10 JAMMU & KASHMIR 238 2197 2435
11 JHARKHAND 299 3962 4261
12 KARNATAKA 3070 39619 42689
13 KERALA 1532 16992 18524
14 MADHYA PRADESH 1367 11694 13061
15 MAHARASHTRA 15753 165832 181585
16 MANIPUR 41 152 193
17 MEGHALAYA 127 555 682
18 MIZORAM 10 48 58
19 NAGALAND 28 243 271
20 ORISSA 859 7727 8586
21 PUNJAB 2202 14077 16279
22 RAJASTHAN 1793 24324 26117
23 TAMIL NADU 7153 59261 66414
24 TRIPURA 25 136 161
25 UTTAR PRADESH 4706 24471 29177
26 UTTRAKHAND 278 1949 2227
27 WEST BENGAL 9438 88853 98291
28 DELHI 15866 151463 167329
29 A & N ISLAND 4 132 136
30 CHANDIGARH 1182 6087 7269
31 DAMAN & DIU 58 163 221
32 D & N HAVELI 51 207 258
33 LAKSHDWEEP 0 10 10
34 PUDUCHERRY 112 1343 1455
Total 82822 753038 835860

77
 STATEMENT- VI
Government Companies Limited by Shares at work as on 31st March, 2010:
(State-wise Distribution)

Sl. No. STATE / UT No. of Companies

Public Limited Private Limited Total

(1) (2) (3) (4) (5)
1 ANDHRA PRADESH 44 32 76
2 ARUNACHAL PRADESH 4 5 9
3 ASSAM 27 24 51
4 BIHAR 71 5 76
5 CHHATISGARH 18 3 21
6 GOA 13 4 17
7 GUJARAT 63 6 69
8 HARYANA 13 2 15
9 HIMACHAL PRADESH 11 8 19
10 JAMMU & KASHMIR 21 3 24
11 JHARKHAND 17 9 26
12 KARNATAKA 64 22 86
13 KERALA 80 35 115
14 MADHYA PRADESH 51 16 67
15 MAHARASHTRA 136 103 239
16 MANIPUR 3 10 13
17 MEGHALAYA 7 8 15
18 MIZORAM 1 4 5
19 NAGALAND 4 2 6
20 ORISSA 79 6 85
21 PUNJAB 8 5 13
22 RAJASTHAN 47 3 50
23 TAMIL NADU 75 18 93
24 TRIPURA 5 4 9
25 UTTAR PRADESH 116 13 129
26 UTTRAKHAND 16 2 18
27 WEST BENGAL 70 21 91
28 DELHI 112 41 153
29 A & N ISLAND 1 1 2
30 CHANDIGARH 19 11 30
31 DAMAN & DIU 1 1 2
32 D & N HAVELI 2 0 2
33 LAKSHDWEEP 0 1 1
34 PUDUCHERRY 0 15 15
Total 1199 443 1642

78
 STATEMENT - VII
Non-Government Companies Limited by Shares at work as on 31st March, 2010:
(State-wise Distribution)

Sl. No. STATE / UT No. of Companies

Public Limited Private Limited Total
(1) (2) (3) (4) (5)
1 ANDHRA PRADESH 6783 55569 62352
2 ARUNACHAL PRADESH 25 276 301
3 ASSAM 673 5569 6242
4 BIHAR 1143 8078 9221
5 CHHATISGARH 344 3485 3829
6 GOA 237 4929 5166
7 GUJARAT 5843 42265 48108
8 HARYANA 1006 8928 9934
9 HIMACHAL PRADESH 312 2353 2665
10 JAMMU & KASHMIR 217 2194 2411
11 JHARKHAND 282 3953 4235
12 KARNATAKA 3006 39597 42603
13 KERALA 1452 16957 18409
14 MADHYA PRADESH 1316 11678 12994
15 MAHARASHTRA 15617 165729 181346
16 MANIPUR 38 142 180
17 MEGHALAYA 120 547 667
18 MIZORAM 9 44 53
19 NAGALAND 24 241 265
20 ORISSA 780 7721 8501
21 PUNJAB 2194 14072 16266
22 RAJASTHAN 1746 24321 26067
23 TAMIL NADU 7078 59243 66321
24 TRIPURA 20 132 152
25 UTTAR PRADESH 4590 24458 29048
26 UTTRAKHAND 262 1947 2209
27 WEST BENGAL 9368 88832 98200
28 DELHI 15754 151422 167176
29 A & N ISLAND 3 131 134
30 CHANDIGARH 1163 6076 7239
31 DAMAN & DIU 57 162 219
32 D & N HAVELI 49 207 256
33 LAKSHDWEEP 0 9 9
34 PUDUCHERRY 112 1328 1440
Total 81623 752595 834218

79
 STATEMENT - VIII
Companies Limited by Shares at work as on 31st March, 2010:
(Distribution by Industrial Activity)

Sl.No. Industrial Classification No. of Companies

Public Limited Private Total

Limited

(1) (2) (3) (4) (5)

1 Agriculture & Allied Activities 4258 18913 23171

2 Mining & Quarrying 961 9085 10046

3 Manufacturing 25658 188861 214519

4 Electricity, Gas & Water Companies 1543 5750 7293

5 Construction. 4364 71053 75417

6 Trade, Hotels and Restaurants 7510 118842 126352

7 Transport, Storage & Communication 1786 26266 28052

8 Finance, Insurance, Real Estate & Business Services 25074 214442 239516

9 Community, Personal & Social Services 3476 37285 40761

10 Unclassified 8192 62541 70733

Total 82822 753038 835860

80
 STATEMENT - IX
Government Companies Limited by Shares at work as on 31st March, 2010:
(Distribution by Industrial Activity)

Sl.No. Industrial Classification No. of Companies

Public Limited Private Limited Total

(1) (2) (3) (4) (5)

1 Agriculture & Allied Activities 72 32 104

2 Mining & Quarrying 53 23 76

3 Manufacturing 354 123 477

4 Electricity, Gas & Water Companies 157 14 171

5 Construction. 80 44 124

6 Trade, Hotels and Restaurants 71 41 112

7 Transport, Storage & Communication 75 15 90

8 Finance, Insurance, Real Estate & Business Services 158 77 235

9 Community, Personal & Social Services 97 43 140

10 Unclassified 82 31 113

Total 1199 443 1642

81
 STATEMENT - X
Non-Government Companies limited by shares at work as on 31st March, 2010:
(Distribution by Industrial Activity)

Sl.No. Industrial Classification No. of Companies

Public Private Total

Limited Limited

(1) (2) (3) (4) (5)

1 Agriculture & Allied Activities 4186 18881 23067

2 Mining & Quarrying 908 9062 9970

3 Manufacturing 25304 188738 214042

4 Electricity, Gas & Water Companies 1386 5736 7122

5 Construction. 4284 71009 75293

6 Trade, Hotels and Restaurants 7439 118801 126240

7 Transport, Storage & Communication 1711 26251 27962

8 Finance, Insurance, Real Estate & Business Services 24916 214365 239281

9 Community, Personal & Social Services 3379 37242 40621

10 Unclassified 8110 62510 70620

Total 81623 752595 834218

82
 STATEMENT - XI
Companies at work 1956-57 to 2009-10
As on Companies Limited by Shares No. of Companies
31st Government Non-Government Total Companies Companies Companies Foreign
March Companies Companies with limited by Companies
Number Estimated Number Estimated Number Estimated unlimited Guarantee as defined
Paid-up Paid-up Paid-up liablity and u/s 591
Capital Capital Capital Association of the
(Rs. Crore) (Rs. Crore) (Rs. Crore) not for Companies
profit Act, 1956
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
1957 74 72.6 29283 1005.0 29357 1077.6 - 1364 551
1958 91 256.8 28189 1049.5 28280 1306.3 - 1356 561
1959 104 428.9 27299 1086.7 27403 1515.6 - 1323 572
1960 125 477.2 26772 1141.5 26897 1618.7 - 1180 565
1961 142 547.0 26007 1271.5 26149 1818.5 - 1169 569
1962 154 629.7 24821 1389.4 24975 2019.1 - 1143 564
1963 160 786.2 25462 1470.3 25622 2256.5 - 1153 582
1964 176 960.8 25756 1640.0 25932 2600.8 - 1162 580
1965 183 1114.9 26038 1727.9 26221 2842.8 - 1162 582
1966 214 1247.7 26551 1878.4 26765 3126.1 - 1161 579
1967 232 1391.5 26795 2009.8 27027 3401.3 - 1152 578
1968 241 1559.3 27103 2114.5 27344 3673.8 - 1160 581
1969 259 1714.9 27765 2259.4 28024 3974.3 - 1188 564
1970 282 1790.6 28727 2299.9 29009 4090.5 - 1206 561
1971 314 2064.4 30008 2439.2 30322 4503.6 - 1220 543
1972 352 2369.1 31915 2571.7 32267 4940.8 - 1242 541
1973 390 2998.4 33966 2750.1 34356 5748.5 - 1262 538
1974 450 4645.1 37035 2985.9 37485 7631.0 1 1294 540
1975 573 4966.0 40007 3234.8 40580 8200.8 4 1326 510
1976 651 6122.3 42755 3497.2 43406 9619.5 15 1337 481
1977 701 7174.5 45165 3705.2 45866 10879.7 43 1356 482
1978 745 8527.6 47549 4070.4 48294 12598.0 47 1381 473
1979 782 8315.2 50736 4260.0 51518 12575.2 62 1414 358
1980 825 10070.3 55668 4536.3 56493 14606.6 78 1447 315
1981 851 11442.6 61863 4914.1 62714 16356.7 176 1478 300
1982 894 13309.3 71508 5626.2 72402 18935.5 219 1496 311
1983 943 16734.9 81960 6321.4 82903 23056.3 252 1536 320
1984 973 19510.6 93291 6989.8 94264 26500.4 282 1598 326
1985 980 22447.0 108329 8149.7 109309 30596.7 295 1677 324
1986 1020 27087.8 123359 9506.8 124379 36594.6 298 1739 335
1987 1053 32872.7 139617 11095.1 140670 43967.8 299 1817 371
1988 1104 37169.3 157220 12954.8 158324 50124.1 309 1881 401
1989 1134 42572.4 179194 15131.1 180328 57703.5 319 1954 420
1990 1160 47450.7 200968 17192.7 202128 64643.4 303 2041 469
1991 1167 54484.6 223285 20313.3 224452 74797.9 317 2117 489
1992 1180 57911.0 249181 26731.3 250361 84642.3 330 2192 507
1993 1190 61163.4 275664 32891.7 276854 94055.1 337 2262 529
1994 1203 67380.5 304422 46441.4 305625 113821.9 349 2350 565
1995 1199 73299.5 352093 62719.2 353292 136018.7 375 2416 619
1996 1216 76962.8 407926 87125.6 409142 164088.4 392 2506 679
1997 1220 84317.8 449730 106200.8 450950 190518.6 419 2578 772
1998 1223 88958.9 483277 128689.7 484500 217648.6 420 2652 871
1999 1229 95918.4 510761 167440.9 511990 263359.3 427 2727 956
2000 1245 102849.9 541189 215960.4 542434 318810.3 449 2824 1045
2001 1266 109745.6 567834 247501.2 569100 357246.8 461 2918 1141
2002 1261 120505.2 587985 285248.0 589246 405753.2 479 3007 1285
2003 1283 130482.3 610872 326576.4 612155 457058.7 490 3108 1497
2004 1309 146358.3 640203 352432.5 641512 498790.8 496 3244 1654
2005 1328 155814.1 678321 498207.5 679649 654021.6 496 3432 1840
2006 1352 167614*(1136) 730817 451538*(478870) 732169 619152*(480006) 498 3605 2040
2007 1669 199269*(1232) 742009 507291*(534782) 743678 706560*(536014) 520 3846 2310
2008 1628 253124*(1321) 767517 670904*(579411) 769145 924028*(580732) 559 4039 2609
2009 (R) 1591 229939*(1372) 785183 689004*(642023) 786774 918943*(643395) 639 13014 2903
2010 (P) 1642 252040*(1364) 834218 774563*(639478) 835860 1026603*(640842) 678 7577 3050
* Paid-up Capital data for Companies (Nos given in parenthesis) as compiled from MCA21.

83
 STATEMENT - XII
Paid-up Capital of Companies Limited by Shares as on 31st March, 2009:
(State-wise Distribution)
(Revised)
(Capital in Rs. crore)
Sl.No. STATES / UT Public Limited Private Limited Total
No. of Paid up No. of Paid up No. of Paid up
Companies Capital* Companies Capital* Companies Capital*
(1) (2) (3) (4) (5) (6) (7) (8)
1 ANDHRA PRADESH 4606 30768.82 33684 25709.17 38290 56477.99
2 ASSAM 577 3182.65 4344 1552.01 4921 4734.66
3 BIHAR 1041 583.19 6464 788.54 7505 1371.72
4 CHHATISGARH 313 1994.88 2719 1194.55 3032 3189.44
5 GUJARAT 4376 61481.17 35354 12478.06 39730 73959.23
6 HARYANA 805 19261.42 5811 6465.26 6616 25726.68
7 HIMACHAL PRADESH 299 7964.58 1878 691.42 2177 8656.00
8 J&K 217 325.66 1820 329.15 2037 654.81
9 JHARKHAND 255 3096.60 3157 2845.24 3412 5941.85
10 KARNATAKA 2633 38975.57 30523 23522.75 33156 62498.33
11 KERALA 1254 5359.09 13230 4124.77 14484 9483.86
12 MADHYA PRADESH 1153 10427.85 9280 2647.12 10433 13074.97
13 MAHARASHTRA 11561 138541.65 112961 84180.66 124522 222722.31
14 MANIPUR 40 60.92 122 33.26 162 94.17
15 MEGHALAYA 113 3514.27 450 335.88 563 3850.15
16 MIZORAM 9 18.96 27 32.66 36 51.62
17 NAGALAND 23 185.26 192 28.08 215 213.34
18 ORISSA 718 6669.14 5791 1524.77 6509 8193.91
19 PUNJAB 2011 6327.46 12060 2836.17 14071 9163.63
20 RAJASTHAN 1342 10824.73 17937 3446.91 19279 14271.65
21 TAMIL NADU 5631 39309.07 47803 26523.06 53434 65832.13
22 TRIPURA 19 144.95 102 58.11 121 203.06
23 UTTAR PRADESH 3565 36432.91 17988 3763.86 21553 40196.77
24 UTTRAKHAND 223 4594.35 1319 397.54 1542 4991.88
25 WEST BENGAL 7438 46675.27 72272 30533.55 79710 77208.82
26 A & N ISLAND 3 4.61 66 16.65 69 21.26
27 ARUNACHAL PRADESH 22 41.27 221 42.73 243 84.00
28 CHANDIGARH 1061 2320.86 5057 1036.56 6118 3357.43
29 D & N HAVELI 53 1021.14 155 54.09 208 1075.23
30 DELHI 13759 121144.72 130335 76208.35 144094 197353.07
31 GOA 206 1485.89 3731 1180.87 3937 2666.76
32 DAMAN & DIU 44 352.89 136 141.80 180 494.69
33 LAKSHDWEEP 0 0.00 3 6.52 3 6.52
34 PUDUCHERRY 99 270.40 934 850.64 1033 1121.03
TOTAL 65469 603362.22 577926 315580.75 643395 918942.97

*Paid-up Capital is worked out on the basis of the companies data available on the MCA Portal.

84
 STATEMENT - XIII
Paid-up Capital of Government Companies Limited by Shares as on 31st March, 2009:
(State-wise Distribution)
(Revised)
(Capital in Rs. crore)
Sl.No. STATES / UT Public Limited Private Limited Total
No. of Paid up No. of Paid up No. of Paid up
Companies Capital* Companies Capital* Companies Capital*
(1) (2) (3) (4) (5) (6) (7) (8)
1 ANDHRA PRADESH 36 5891.45 12 7855.81 48 13747.26
2 ASSAM 29 1412.13 24 451.58 53 1863.71
3 BIHAR 58 157.66 5 104.43 63 262.09
4 CHHATISGARH 15 57.03 4 367.89 19 424.92
5 GUJARAT 55 22891.85 1 0.01 56 22891.86
6 HARYANA 13 13280.06 3 117.09 16 13397.15
7 HIMACHAL PRADESH 9 4257.99 9 108.90 18 4366.89
8 J&K 20 241.94 3 5.02 23 246.95
9 JHARKHAND 14 2568.58 9 2230.85 23 4799.43
10 KARNATAKA 60 17818.28 6 4.74 66 17823.02
11 KERALA 80 1772.55 29 596.56 109 2369.12
12 MADHYA PRADESH 43 6734.83 9 237.04 52 6971.87
13 MAHARASHTRA 118 16360.78 59 1437.12 177 17797.90
14 MANIPUR 2 2.21 10 9.87 12 12.08
15 MEGHALAYA 4 3201.72 8 108.59 12 3310.31
16 MIZORAM 2 15.79 4 30.31 6 46.10
17 NAGALAND 3 122.25 4 6.44 7 128.69
18 ORISSA 68 3082.08 3 65.24 71 3147.31
19 PUNJAB 8 200.66 1 0.01 9 200.68
20 RAJASTHAN 40 5924.15 2 24.06 42 5948.20
21 TAMIL NADU 59 6107.21 10 59.57 69 6166.77
22 TRIPURA 7 62.90 2 44.59 9 107.50
23 UTTAR PRADESH 104 25153.87 8 59.58 112 25213.45
24 UTTRAKHAND 17 4141.78 2 7.01 19 4148.79
25 WEST BENGAL 61 20984.26 20 826.44 81 21810.70
26 A & N ISLAND 1 1.00 1 10.97 2 11.97
27 ARUNACHAL PRADESH 4 0.37 5 8.16 9 8.54
28 CHANDIGARH 19 402.25 9 104.86 28 507.11
29 D & N HAVELI 1 4.83 0 0.00 1 4.83
30 DELHI 104 49774.54 23 1693.68 127 51468.22
31 GOA 13 182.22 2 5.62 15 187.84
32 DAMAN & DIU 1 6.31 1 0.02 2 6.33
33 LAKSHDWEEP 0 0.00 1 6.50 1 6.50
34 PUDUCHERRY 0 0.00 15 534.44 15 534.44
TOTAL 1068 212815.50 304 17123.00 1372 229938.51

*Paid-up Capital is worked out on the basis of the companies data available on the MCA Portal.

85
 STATEMENT - XIV
Paid-up Capital of Non-Government Companies Limited by Shares as on 31st March, 2009:
(State-wise Distribution)
(Revised)
(Capital in Rs. crore)
Sl.No. STATES / UT Public Limited Private Limited Total
No. of Paid up No. of Paid up No. of Paid up
Companies Capital* Companies Capital* Companies Capital*
(1) (2) (3) (4) (5) (6) (7) (8)
1 ANDHRA PRADESH 4570 24877.38 33672 17853.35 38242 42730.73
2 ASSAM 548 1770.53 4320 1100.43 4868 2870.96
3 BIHAR 983 425.53 6459 684.11 7442 1109.64
4 CHHATISGARH 298 1937.86 2715 826.66 3013 2764.52
5 GUJARAT 4321 38589.32 35353 12478.05 39674 51067.37
6 HARYANA 792 5981.37 5808 6348.16 6600 12329.53
7 HIMACHAL PRADESH 290 3706.59 1869 582.51 2159 4289.11
8 J&K 197 83.72 1817 324.13 2014 407.85
9 JHARKHAND 241 528.03 3148 614.39 3389 1142.42
10 KARNATAKA 2573 21157.29 30517 23518.02 33090 44675.31
11 KERALA 1174 3586.54 13201 3528.21 14375 7114.75
12 MADHYA PRADESH 1110 3693.02 9271 2410.08 10381 6103.10
13 MAHARASHTRA 11443 122180.87 112902 82743.54 124345 204924.41
14 MANIPUR 38 58.71 112 23.39 150 82.10
15 MEGHALAYA 109 312.55 442 227.29 551 539.84
16 MIZORAM 7 3.17 23 2.35 30 5.52
17 NAGALAND 20 63.01 188 21.64 208 84.65
18 ORISSA 650 3587.06 5788 1459.54 6438 5046.60
19 PUNJAB 2003 6126.80 12059 2836.15 14062 8962.96
20 RAJASTHAN 1302 4900.59 17935 3422.86 19237 8323.44
21 TAMIL NADU 5572 33201.86 47793 26463.49 53365 59665.36
22 TRIPURA 12 82.04 100 13.52 112 95.56
23 UTTAR PRADESH 3461 11279.03 17980 3704.29 21441 14983.32
24 UTTRAKHAND 206 452.57 1317 390.53 1523 843.10
25 WEST BENGAL 7377 25691.02 72252 29707.11 79629 55398.12
26 A & N ISLAND 2 3.61 65 5.68 67 9.29
27 ARUNACHAL PRADESH 18 40.90 216 34.56 234 75.46
28 CHANDIGARH 1042 1918.61 5048 931.71 6090 2850.32
29 D & N HAVELI 52 1016.31 155 54.09 207 1070.40
30 DELHI 13655 71370.18 130312 74514.67 143967 145884.85
31 GOA 193 1303.67 3729 1175.25 3922 2478.92
32 DAMAN & DIU 43 346.58 135 141.78 178 488.36
33 LAKSHDWEEP 0 0.00 2 0.02 2 0.02
34 PUDUCHERRY 99 270.40 919 316.20 1018 586.59
TOTAL 64401 390546.71 577622 298457.75 642023 689004.47

*Paid-up Capital is worked out on the basis of the companies data available on the MCA Portal.

86
 STATEMENT - XV
Paid up Capital of Companies Limited by Shares as on 31st March, 2009 :
(Distribution by Industrial Activity)
(Revised)
(Capital in Rs. crore)

Sl. No. Industrial Classification Public Limited Private Limited Total

No. of Paid up No. of Paid up No. of Paid up

Companies Capital* Companies Capital* Companies Capital

(1) (2) (3) (4) (5) (6) (7) (8)

1 Agriculture, Foresty and Fishing 2938 4989.57 14007 3507.94 16945 8497.52

2 Mining & Quarrying 748 20009.27 6781 5042.68 7529 25051.96

3 Manufacturing 20639 188011.23 153171 95157.65 173810 283168.88

4 Electricity, Gas & Water Companies 1293 92292.17 3864 11873.40 5157 104165.58

5 Construction. 3573 48953.96 54827 28009.08 58400 76963.04

6 Trade, Hotels and Restaurants 6027 20789.56 91027 36672.25 97054 57461.80

7 Transport, Storage and Communications 1397 20385.12 20350 10897.95 21747 31283.06

8 Finance, Insurance, Real Estate & 19512 93075.30 159347 78352.03 178859 171427.33
Business Services

9 Community, Personal & Social Services 2819 35655.16 27241 13977.46 30060 49632.62

10 Unclassified 6523 79200.89 47311 32090.31 53834 111291.20

Total 65469 603362.22 577926 315580.75 643395 918942.97

*Paid-up Capital is worked out on the basis of the companies data available on the MCA Portal.

87
 STATEMENT - XVI
Paid up Capital of Government Companies Limited by Shares as on 31st March, 2009 :
(Distribution by Industrial Activity)
(Revised)
(Capital in Rs. crore)

Sl.No. Industrial Classification Public Limited Private Limited Total

No. of Paid up No. of Paid up No. of Paid up

Companies Capital* Companies Capital* Companies Capital*

(1) (2) (3) (4) (5) (6) (7) (8)

1 Agriculture, Foresty and Fishing 74 472.44 32 178.19 106 650.63

2 Mining & Quarrying 48 8228.63 17 2800.06 65 11028.69

3 Manufacturing 324 54130.48 93 9789.03 417 63919.51

4 Electricity, Gas & Water Companies 121 71161.37 13 586.55 134 71747.92

5 Construction. 72 22714.07 23 110.98 95 22825.05

6 Trade, Hotels and Restaurants 70 635.62 23 67.47 93 703.09

7 Transport,Storage and Communications 55 2535.64 9 356.64 64 2892.28

8 Finance,Insurance,Real Estate & 147 8543.34 46 1289.98 193 9833.32

Business Services

9 Community, Personal & Social Services 88 17305.29 29 406.18 117 17711.47

10 Unclassified 69 27088.63 19 1537.91 88 28626.55

TOTAL 1068 212815.50 304 17123.00 1372 229938.51

*Paid-up Capital is worked out on the basis of the companies data available on the MCA Portal.

88
 STATEMENT - XVII
Paid up Capital of Non-Government Companies Limited by Shares as on 31st March, 2009 :
(Distribution by Industrial Activity)
(Revised)
(Capital in Rs. crore)

Sl.No. Industrial Classification Public Limited Private Limited Total

No. of Paid up No. of Paid up No. of Paid up

Companies Capital* Companies Capital* Companies Capital*

(1) (2) (3) (4) (5) (6) (7) (8)

1 Agriculture, Foresty and Fishing 2864 4517.14 13975 3329.75 16839 7846.89

2 Mining & Quarrying 700 11780.64 6764 2242.63 7464 14023.27

3 Manufacturing 20315 133880.75 153078 85368.61 173393 219249.37

4 Electricity, Gas & Water Companies 1172 21130.81 3851 11286.85 5023 32417.66

5 Construction. 3501 26239.89 54804 27898.10 58305 54137.99

6 Trade, Hotels and Restaurants 5957 20153.93 91004 36604.78 96961 56758.71

7 Transport,Storage and Communications 1342 17849.48 20341 10541.31 21683 28390.78

8 Finance,Insurance,Real Estate & 19365 84531.96 159301 77062.05 178666 161594.01

Business Services

9 Community, Personal & Social Services 2731 18349.87 27212 13571.28 29943 31921.15

10 Unclassified 6454 52112.26 47292 30552.40 53746 82664.66

TOTAL 64401 390546.71 577622 298457.75 642023 689004.47

*Paid-up Capital is worked out on the basis of the companies data available on the MCA Portal.

89
 STATEMENT - XVIII
Paid-up Capital of Companies Limited by Shares as on 31st March, 2010:
(State-wise Distribution)
(Provisional)
(Capital in Rs. crore)
Sl.No. STATES / UT Public Limited Private Limited Total
No. of Paid up No. of Paid up No. of Paid up
Companies Capital* Companies Capital* Companies Capital*
(1) (2) (3) (4) (5) (6) (7) (8)
1 ANDHRA PRADESH 4601 33783.46 33635 28281.75 38236 62065.22
2 ASSAM 575 3219.95 4341 1707.72 4916 4927.67
3 BIHAR 1041 592.20 6455 866.82 7496 1459.02
4 CHHATISGARH 313 2199.28 2718 1378.20 3031 3577.48
5 GUJARAT 4362 67080.47 35243 13289.98 39605 80370.45
6 HARYANA 803 22520.47 5769 7451.20 6572 29971.67
7 HIMACHAL PRADESH 299 8665.46 1875 978.04 2174 9643.51
8 J&K 217 355.12 1817 338.09 2034 693.21
9 JHARKHAND 255 3882.43 3154 2925.65 3409 6808.08
10 KARNATAKA 2621 40180.67 30384 26823.91 33005 67004.58
11 KERALA 1238 5602.84 13169 4992.40 14407 10595.24
12 MADHYA PRADESH 1150 11244.60 9258 2909.45 10408 14154.05
13 MAHARASHTRA 11482 154106.87 112517 95180.51 123999 249287.39
14 MANIPUR 40 72.39 122 34.05 162 106.44
15 MEGHALAYA 113 3598.17 450 345.31 563 3943.49
16 MIZORAM 9 18.96 27 32.66 36 51.62
17 NAGALAND 23 78.04 192 27.80 215 105.84
18 ORISSA 715 6740.68 5781 1611.09 6496 8351.77
19 PUNJAB 2005 7760.08 11984 3149.85 13989 10909.93
20 RAJASTHAN 1337 14455.92 17873 3715.10 19210 18171.02
21 TAMIL NADU 5583 43819.82 47584 32872.75 53167 76692.56
22 TRIPURA 19 341.31 102 67.13 121 408.44
23 UTTAR PRADESH 3560 39490.10 17937 4887.40 21497 44377.50
24 UTTRAKHAND 223 4766.82 1313 458.20 1536 5225.02
25 WEST BENGAL 7399 42410.02 71954 33324.64 79353 75734.66
26 A & N ISLAND 3 4.61 66 16.85 69 21.46
27 ARUNACHAL PRADESH 22 47.62 220 46.30 242 93.92
28 CHANDIGARH 1054 2467.52 5018 1099.52 6072 3567.04
29 D & N HAVELI 53 1221.33 154 62.25 207 1283.58
30 DELHI 13687 141022.22 129798 91096.47 143485 232118.70
31 GOA 206 1586.99 3716 1436.69 3922 3023.68
32 DAMAN & DIU 43 361.37 136 155.79 179 517.16
33 LAKSHDWEEP 0 0.00 3 6.52 3 6.52
34 PUDUCHERRY 98 293.84 928 1041.18 1026 1335.03
TOTAL 65149 663991.65 575693 362611.28 640842 1026602.93

*Paid-up Capital is worked out on the basis of the companies data available on the MCA Portal.

90
 STATEMENT - XIX
Paid-up Capital of Government Companies Limited by Shares as on 31st March, 2010:
(State-wise Distribution)
(Provisional)
(Capital in Rs. crore)
Sl.No. STATES / UT Public Limited Private Limited Total
No. of Paid up No. of Paid up No. of Paid up
Companies Capital* Companies Capital* Companies Capital*
(1) (2) (3) (4) (5) (6) (7) (8)
1 ANDHRA PRADESH 36 6189.50 12 7856.92 48 14046.42
2 ASSAM 28 1339.17 24 451.58 52 1790.75
3 BIHAR 58 157.66 5 104.43 63 262.09
4 CHHATISGARH 15 57.03 4 388.00 19 445.03
5 GUJARAT 55 28394.76 1 0.01 56 28394.77
6 HARYANA 13 12662.21 3 117.09 16 12779.30
7 HIMACHAL PRADESH 9 4257.99 9 423.13 18 4681.12
8 J&K 20 241.94 3 5.02 23 246.95
9 JHARKHAND 14 2773.08 9 2230.85 23 5003.93
10 KARNATAKA 60 18505.92 6 12.59 66 18518.51
11 KERALA 77 1870.74 29 597.81 106 2468.56
12 MADHYA PRADESH 43 7717.91 9 237.04 52 7954.95
13 MAHARASHTRA 118 19864.45 59 1177.89 177 21042.33
14 MANIPUR 2 2.21 10 9.87 12 12.08
15 MEGHALAYA 4 3220.54 8 108.59 12 3329.13
16 MIZORAM 2 15.79 4 30.31 6 46.10
17 NAGALAND 3 14.07 4 6.44 7 20.51
18 ORISSA 68 3055.99 3 0.24 71 3056.23
19 PUNJAB 8 200.66 1 0.01 9 200.68
20 RAJASTHAN 38 7377.18 2 24.06 40 7401.23
21 TAMIL NADU 58 7193.68 10 60.36 68 7254.04
22 TRIPURA 7 63.71 2 50.82 9 114.54
23 UTTAR PRADESH 104 28119.47 8 59.58 112 28179.05
24 UTTRAKHAND 17 4199.74 2 7.01 19 4206.75
25 WEST BENGAL 60 14429.57 20 826.44 80 15256.01
26 A & N ISLAND 1 1.00 1 10.97 2 11.97
27 ARUNACHAL PRADESH 4 5.32 5 8.16 9 13.49
28 CHANDIGARH 19 402.25 9 105.57 28 507.82
29 D & N HAVELI 1 4.93 0 0.00 1 4.93
30 DELHI 104 62285.97 23 1713.68 127 63999.65
31 GOA 13 200.26 2 5.62 15 205.88
32 DAMAN & DIU 1 6.46 1 0.02 2 6.48
33 LAKSHDWEEP 0 0.00 1 6.50 1 6.50
34 PUDUCHERRY 0 0.00 15 572.64 15 572.64
TOTAL 1060 234831.15 304 17209.25 1364 252040.40

*Paid-up Capital is worked out on the basis of the companies data available on the MCA Portal.

91
 STATEMENT - XX
Paid-up Capital of Non-Government Companies Limited by Shares as on 31st March, 2010:
(State-wise Distribution)
(Provisional)
(Capital in Rs. crore)
Sl.No. STATES / UT Public Limited Private Limited Total
No. of Paid up No. of Paid up No. of Paid up
Companies Capital* Companies Capital* Companies Capital*
(1) (2) (3) (4) (5) (6) (7) (8)
1 ANDHRA PRADESH 4565 27593.97 33623 20424.83 38188 48018.80
2 ASSAM 547 1880.78 4317 1256.14 4864 3136.93
3 BIHAR 983 434.54 6450 762.39 7433 1196.94
4 CHHATISGARH 298 2142.26 2714 990.20 3012 3132.46
5 GUJARAT 4307 38685.71 35242 13289.97 39549 51975.68
6 HARYANA 790 9858.27 5766 7334.11 6556 17192.37
7 HIMACHAL PRADESH 290 4407.47 1866 554.91 2156 4962.38
8 J&K 197 113.18 1814 333.07 2011 446.25
9 JHARKHAND 241 1109.35 3145 694.80 3386 1804.15
10 KARNATAKA 2561 21674.75 30378 26811.32 32939 48486.07
11 KERALA 1161 3732.09 13140 4394.59 14301 8126.68
12 MADHYA PRADESH 1107 3526.69 9249 2672.41 10356 6199.09
13 MAHARASHTRA 11364 134242.43 112458 94002.63 123822 228245.05
14 MANIPUR 38 70.18 112 24.18 150 94.37
15 MEGHALAYA 109 377.63 442 236.72 551 614.36
16 MIZORAM 7 3.17 23 2.35 30 5.52
17 NAGALAND 20 63.97 188 21.36 208 85.33
18 ORISSA 647 3684.69 5778 1610.85 6425 5295.54
19 PUNJAB 1997 7559.42 11983 3149.83 13980 10709.25
20 RAJASTHAN 1299 7078.75 17871 3691.04 19170 10769.79
21 TAMIL NADU 5525 36626.13 47574 32812.39 53099 69438.52
22 TRIPURA 12 277.60 100 16.31 112 293.91
23 UTTAR PRADESH 3456 11370.63 17929 4827.82 21385 16198.45
24 UTTRAKHAND 206 567.08 1311 451.19 1517 1018.27
25 WEST BENGAL 7339 27980.45 71934 32498.20 79273 60478.65
26 A & N ISLAND 2 3.61 65 5.88 67 9.49
27 ARUNACHAL PRADESH 18 42.30 215 38.13 233 80.43
28 CHANDIGARH 1035 2065.26 5009 993.96 6044 3059.22
29 D & N HAVELI 52 1216.39 154 62.25 206 1278.65
30 DELHI 13583 78736.25 129775 89382.79 143358 168119.04
31 GOA 193 1386.73 3714 1431.07 3907 2817.81
32 DAMAN & DIU 42 354.92 135 155.77 177 510.68
33 LAKSHDWEEP 0 0.00 2 0.02 2 0.02
34 PUDUCHERRY 98 293.84 913 468.55 1011 762.39
TOTAL 64089 429160.50 575389 345402.03 639478 774562.52

*Paid-up Capital is worked out on the basis of the companies data available on the MCA Portal.

92
 STATEMENT - XXI
Paid up Capital of Companies Limited by Shares as on 31st March, 2010 :
(Distribution by Industrial Activity)
(Provisional)
(Capital in Rs. crore)

Sl.No. Industrial Classification Public Limited Private Limited Total

No. of Paid up No. of Paid up No. of Paid up

Companies Capital* Companies Capital* Companies Capital*

(1) (2) (3) (4) (5) (6) (7) (8)

1 Agriculture, Foresty and Fishing 2930 5370.04 13957 4027.25 16887 9397.29

2 Mining & Quarrying 746 16403.71 6769 5205.43 7515 21609.14

3 Manufacturing 20545 205824.84 152671 108158.94 173216 313983.78

4 Electricity, Gas & Water Companies 1289 107711.84 3855 12911.84 5144 120623.68

5 Construction. 3560 59232.98 54498 34340.22 58058 93573.20

6 Trade, Hotels and Restaurants 6000 22647.75 90682 40813.58 96682 63461.33

7 Transport,Storage and Communications 1385 25733.93 20274 12976.14 21659 38710.07

8 Finance,Insurance,Real Estate & 19400 99518.54 158746 89360.28 178146 188878.82

Business Services

9 Community, Personal & Social Services 2804 36292.55 27124 17071.76 29928 53364.31

10 Unclassified 6490 85255.47 47117 37745.83 53607 123001.30

TOTAL 65149 663991.65 575693 362611.28 640842 1026602.93

*Paid-up Capital is worked out on the basis of the companies data available on the MCA Portal.

93
 STATEMENT - XXII
Paid up Capital of Government Companies Limited by Shares as on 31st March, 2010 :
(Distribution by Industrial Activity)
(Provisional)
(Capital in Rs. crore)

Sl. Industrial Classification Public Limited Private Limited Total

No.
No. of Paid up No. of Paid up No. of Paid up
Companies Capital* Companies Capital* Companies Capital*

(1) (2) (3) (4) (5) (6) (7) (8)

1 Agriculture, Foresty and 74 612.47 32 204.84 106 817.32

Fishing

2 Mining & Quarrying 48 8762.21 17 2735.56 65 11497.77

3 Manufacturing 319 56505.40 93 9552.46 412 66057.87

4 Electricity, Gas & Water 123 81291.02 13 896.17 136 82187.19

Companies

5 Construction. 71 26410.55 23 118.83 94 26529.38

6 Trade, Hotels and Restaurants 70 750.51 23 68.40 93 818.92

7 Transport,Storage and 54 3018.88 9 357.39 63 3376.27

Communications

8 Finance,Insurance,Real Estate 145 9351.47 46 1289.94 191 10641.41

& Business Services

9 Community, Personal & Social 87 17892.47 29 425.91 116 18318.38

Services

10 Unclassified 69 30236.17 19 1559.73 88 31795.90

TOTAL 1060 234831.15 304 17209.25 1364 252040.40

*Paid-up Capital is worked out on the basis of the companies data available on the MCA Portal.

94
 STATEMENT - XXIII
Paid up Capital of Non-Government Companies Limited by Shares as on 31st March, 2010 :
(Distribution by Industrial Activity)
(Provisional)
(Capital in Rs. crore)

Sl.No. Industrial Classification Public Limited Private Limited Total

No. of Paid up No. of Paid up No. of Paid up

Companies Capital* Companies Capital* Companies Capital*

(1) (2) (3) (4) (5) (6) (7) (8)

1 Agriculture, Foresty and Fishing 2856 4757.57 13925 3822.41 16781 8579.98

2 Mining & Quarrying 698 7641.50 6752 2469.87 7450 10111.37

3 Manufacturing 20226 149319.44 152578 98606.47 172804 247925.92

4 Electricity, Gas & Water Companies 1166 26420.81 3842 12015.67 5008 38436.49

5 Construction. 3489 32822.43 54475 34221.39 57964 67043.81

6 Trade, Hotels and Restaurants 5930 21897.24 90659 40745.18 96589 62642.41

7 Transport,Storage and 1331 22715.05 20265 12618.75 21596 35333.80

Communications

8 Finance,Insurance,Real Estate & 19255 90167.08 158700 88070.33 177955 178237.41

Business Services

9 Community, Personal & Social 2717 18400.08 27095 16645.85 29812 35045.93
Services

10 Unclassified 6421 55019.30 47098 36186.10 53519 91205.40

TOTAL 64089 429160.50 575389 345402.03 639478 774562.52

*Paid-up Capital is worked out on the basis of the companies data available on the MCA Portal.

95
 STATEMENT-XXIV
Statement showing the statistics of prosecutions for the year 2009-10

Sl. Name of ROC Cases Number of Cases No. of No. of cases disposed of Cost Fine Number
No. out companies launched Cos. Conviction Acquittal Withdrawl Disposed Total awarded imposed of cases
standing involved during involved of (Rs.) (Rs.) pending
as on the otherwise as on
1.4.2009 period 31.3.2010
1.4.2009 -
31.3.2010
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)
1 Andhra Pradesh 582 65 237 28 177 169 0 42 388 0 289,203 431
2 Assam 3230 299 77 34 36 1 7 3 47 85,877 586,416 3260
3 Bihar 13293 337 628 117 102 0 0 1596 1698 78,000 156,000 12223
4 Delhi & Haryana 3300 1371 654 271 272 49 16 351 688 0 680,800 3266
5 Goa 792 592 137 68 100 0 0 55 155 100,750 201,500 774
6 Gujarat 2648 683 326 128 99 0 32 71 202 8,850 224,781 2772
7 Jammu & Kashmir 417 229 228 40 0 0 0 0 0 0 0 645

96
8 Karnataka 1497 278 238 82 351 2 15 45 413 914,000 1,828,000 1322
9 Kerala 2446 1002 689 204 1045 8 172 182 1407 713,700 2,308,000 1728
10 Maharashtra 5580 197 401 19 2 0 15 213 230 0 0 5751
(Mumbai)
11 Maharasthra (Pune) 946 419 571 269 216 2 8 2 228 240,250 480,500 1289
12 Madhya Pradesh 1245 551 299 160 0 0 4 0 4 0 0 1540
13 Orissa 3192 799 288 145 331 0 151 26 508 127,890 497,965 2972
14 Puducherry 48 13 8 4 12 0 4 0 16 0 88,512 40
15 Punjab, H.P.& 2325 462 335 33 448 4 15 269 736 27,380 322,250 1924
Chandigarh
16 Rajasthan 354 146 325 122 88 0 0 5 93 24,500 303,200 586
17 Tamil Nadu 3393 1091 1344 475 201 18 0 117 336 316,900 633,800 4401
(Chennai)
18 Tamil Nadu 357 199 106 50 13 4 0 30 47 10,750 65,000 416
(Coimbatore)
19 Uttar Pradesh 4693 812 225 27 0 0 0 13 13 6,000 71,140 4905
20 West Bengal 9965 4010 1905 920 223 160 25 30 438 246,625 493,250 11432
Total 60303 13555 9021 3196 3716 417 464 3050 7647 2,901,472 9,230,317 61677