Corporate affairs minister Sachin Pilot said on Friday that he is open to suggestions from the industry on defining the thresholds for applicability of provisions in the new companies law, including rotation of auditors and requirement of independent directors. Interacting with the members of the National Council of CII, Pilot said the Act is forward-looking and that nothing in it would take effect retrospectively. He invited suggestions to rectify any such provision that may have retrospective effect.
Industry captains made a number of suggestions to the minister, including on the requirement of independent directors for unlisted companies, audit rotation, definition of share capital, implementation of CSR provisions, related party transactions, exemptions for private companies. Industry leaders underscored that the ease of doing business in India, which is at a precarious level, should not be negatively impacted because of implementation of the new law.