Parliament nod for cos bill unlikely

Parliament nod for cos bill unlikely

 Minister of State for Corporate Affairs R P N Singh told reporters that the Bill will be cleared in next Parliament session.

The Bill proposes to introduce concept of class action suits for the first time in India, which would empower investors to sue a company for ‘oppression and mismanagement’ and claim damages. Among other things, it also proposes to tighten the laws for raising money from the public. It also seeks to prohibit insider trading by company directors or key managerial personnel by treating such activities as a criminal offence.