Home India Ministry of Corporate Affairs Parliament Question: Corporate Governance in Budaun...
Date: 2025-12-08 Category: Not Applicable State: Union Government Country: India

Parliament Question: Corporate Governance in Budaun

Issued by Ministry of Corporate Affairs · Not Applicable

Research with AI Agent Chat with Document Generate Summary Translate Helpful Share Add to Project Create Task

Executive Summary & Key Takeaways

**Executive Summary** This document is the answer to an unstarred question in Lok Sabha, regarding corporate governance in Budaun, Uttar Pradesh, specifically concerning complexities faced by companies in complying with amendments to the Companies (Accounts) Rules, 2025. The document details government initiatives to simplify compliance, enhance transparency, and provide support. Key deadlines mentioned include extended filing periods and the notification dates of amendment rules. **Key Points / Main Content** * **Amendments to Companies (Accounts) Rules, 2014:** * The Companies (Accounts) Rules, 2014 were amended twice in 2025. * Amendments aimed to streamline compliance and improve transparency. * **Companies (Accounts) Amendment Rules 2025:** * Notified on May 19, 2025. * Allowed companies to file Form CSR-2 separately for FY 2023-24 until June 30, 2025, and later extended to August 15, 2025, due to portal migration, as per General Circular No. 02/2025 dated 16.06.2025. * **Companies (Accounts) Second Amendment Rules, 2025:** * Notified on May 30, 2025, and effective from July 14, 2025. * Introduced new forms for financial statements in the V3 portal, aiming to reduce duplication. * Linked certain forms to the Financial Statement (AOC-4). * Allowed Interim Resolution Professionals/Resolution Professionals/Liquidators to file forms in case of resolution or liquidation. * Figures from previous reporting periods are pre-filled. * **MCA Portal Availability:** * MCA portal was temporarily unavailable from June 18, 2025, to July 13, 2025. * Filings completed by August 15, 2025, were allowed without additional fees for due dates falling between June 18, 2025, and July 31, 2025, as per General Circular No. 01/2025 dated June 16, 2025. * **Extended Filing Deadlines:** * Companies were allowed to complete annual filings for FY 2024-25 until December 31, 2025, without additional fees, as per General Circular No. 06/2025 dated October 17, 2025. * **Stakeholder Support & Grievance Resolution:** * Regular webinars and training are conducted for stakeholders. * Video tutorials, Chatbot, user manuals, and FAQs are available on the portal. * A dashboard facility enables stakeholders to track filings and payments. * A helpdesk addresses grievances related to the MCA21 portal, with MCA partnering with professional institutes for improved redressal and user feedback. **Impact Analysis** **Companies and Business Enterprises in Budaun** * **Impact:** Affected by the amendments to the Companies (Accounts) Rules, 2025, in terms of compliance and financial reporting. Beneficiaries of simplified compliance procedures and enhanced transparency. * **Action Required:** Familiarize themselves with the new forms, reporting requirements, and filing deadlines. Utilize available support resources like webinars, tutorials, and the helpdesk. Adhere to extended filing deadlines to avoid additional fees. **Interim Resolution Professionals/Resolution Professionals/Liquidators** * **Impact:** Affected by changes allowing them to file forms in cases of resolution or liquidation, with pre-filled data for previous periods. * **Action Required:** Utilize the new forms to file financial statements in cases of resolution or liquidation. **All Companies filing under MCA21 portal** * **Impact:** Affected by temporary unavailability of MCA portal * **Action Required:** Take note of the new filing procedures and requirements.

Key Entities Referenced

Ministry of Corporate Affairs: The primary government body responsible for the Companies Act and related regulations, issuing notifications and circulars regarding corporate governance. Companies (Accounts) Rules, 2014: The set of rules governing company accounts, which were amended twice in 2025 to streamline compliance and improve transparency. MCA21 portal: The online portal used by companies for various filings, including financial statements, and a key focus of efforts to streamline compliance. Budaun: District in Uttar Pradesh, India, where companies face specific compliance complexities.
Official Source Record View Original Source →
See Full Document Text
GOVERNMENT OF INDIA MINISTRY OF CORPORATE AFFAIRS LOK SABHA UNSTARRED QUESTION NO. 1336 ANSWERED ON MONDAY, DECEMBER 08, 2025 AGRAHAYANA 17, 1947 (SAKA) CORPORATE GOVERNANCE IN BUDAUN QUESTION 1336. Shri Aditya Yadav: Will the Minister of CORPORATE AFFAIRS be pleased to state: (a) whether the Government has taken note of the complexities faced by companies and business enterprises in Budaun district in the State of Uttar Pradesh in complying with the recent amendments to the Companies (Accounts) Rules, 2025, which are affecting corporate governance and financial reporting in the country; (b) if so, the details of initiatives implemented/ proposed by the Government to simplify compliance procedures, enhance transparency through digital documentation and capacity development for corporate entities in the district; and (c) if not, the reasons therefor? ANSWER THE MINISTER OF STATE IN THE MINISTRY OF CORPORATE AFAIRS AND MINISTER OF STATE IN THE MINISTRY OF ROAD, TRANSPORT AND HIGHWAYS [SHRI HARSH MALHOTRA] (a) to (c): The Companies (Accounts) Rules, 2014 was amended twice during the year 2025 to streamline compliance and improve transparency in the annual financial statement related filings of all companies, including the companies in the district of Budaun in the State of Uttar Pradesh. The details of the initiatives taken in this regard are as follows: 1. The Companies (Accounts) Amendment Rules 2025 were notified on 19th May, 2025, to allow companies to file FormCSR-2 (Reporting on activities related to Corporate Social Responsibility) as a separate Form for the FY 2023-24, till 30th June, 2025. Further, on account of migration of Forms to the new V3 portal (Version 3 of MCA21 portal), companies were given additional time to file Form CSR-2 as a separate Form till 15th August, 2025 vide General Circular No. 02/2025 dated 16.06.2025. 2. The Companies (Accounts) Second Amendment Rules, 2025 were notified on 30th May, 2025 and were effective from 14th July, 2025. It introduced new Forms for filing financial statements/consolidated financial statements of the companies in the V3 portal (Version 3 of MCA21 portal). With a view to reduce duplications and redundancies, to capture data in the machine-readable format, and to reduce number of filing requirements, such Forms, hitherto being filed separately or as attachments, along with some new Forms, have now been linked with the Financial Statement (AOC-4). There are significant enhancements in the Forms whereby Interim Resolution Professional/ Resolution Professional /Liquidator are allowed to file these Forms in case the companies are under the resolution process or under liquidation. The figures from the previous reporting period are pre-filled. 3. At the time of the roll-out of these new Forms, considering that the MCA portal was temporarily unavailable for filing from 18.06.2025 and 13.07.2025 (both dates inclusive), companies were allowed to complete their filings without levy of additional fees up to 15th August, 2025 in cases where the due date or resubmission date fell between 18.06.2025 and 31.07.2025 vide General Circular No. 01/2025 dated 16th June, 2025. 4. Further, considering that companies may require some time to get familiarised with the filing process, vide General Circular No. 06/2025 dated 17th October, 2025, companies have been allowed to complete their annual filings pertaining to FY 2024- 25 till 31st December, 2025 without payment of additional fees.5. In addition to the above, following steps were taken so that the stakeholders get familiarised with the filling requirements, while at the same time, providing them a mechanism for resolving their grievances :- i. Webinars and training are conducted regularly for handholding stakeholders. Video tutorials, Chatbot, user manuals and FAQs are available on portal to assist users in filing of returns. ii. The portal provides a dashboard facility that enables stakeholders to track filings, payment status, and approvals in real time, thereby enhancing transparency. iii. A helpdesk mechanism has been established to address grievances related to the MCA21 portal. To further improve grievance redressal, MCA has partnered with professional institutes to review ticket closures. A dedicated team from these institutes works closely with MCA to monitor grievance handling and collect user feedback after ticket closure. ******

Continue your research