Govt proposes overhaul of company incorporation rules

The government proposes amendments to simplify company incorporation, removing mandatory office verification and addressing deceased subscriber liabilities. The changes aim to reduce procedural hurdles, align with other regulatory frameworks, and encourage investor participation. A new rule requires legal representatives to cover unpaid subscriptions, though it may pose practical challenges. According to Manvinder Singh, Partner at JSA Advocates & Solicitors, this could particularly benefit companies operating from co-working spaces or located in Special Economic Zones (SEZs), where documentation requirements have often been ambiguous. However, Singh cautioned that clearer guidance or standardisation may still be required to ensure uniform implementation across jurisdictions. Read more