The Ministry of Corporate Affairs ( MCA ) has outlined the significant measures to reduce litigation under company law and improve the ease of doing business across India, including Rajasthan in response to an unstarred question (No. 98) raised in the Lok Sabha by Members of Parliament Shri Ramvir Singh Bidhuri, Shri Jugal Kishore, and Shri Harish Chandra Meena.
In a detailed reply, Minister of State Shri Harsh Malhotra highlighted the government’s efforts to address the backlog of cases in courts, particularly those of a procedural or technical nature. The MCA has undertaken two special drives—in 2017 and 2023-24—to withdraw such cases, freeing judicial resources for more serious offences. A total of 14,247 prosecutions were withdrawn in Special Drive-I, while 6,266 were withdrawn in Special Drive-II. In Rajasthan ( ROC Jaipur ) and Delhi ( ROC Delhi & Haryana ), 10 and 18 cases were withdrawn, respectively. As of November 30, 2024, 258 cases remain pending in Rajasthan, and 938 in Delhi and Haryana.
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To further reduce litigation, the government has decriminalized 63 offences under the Companies Act and LLP Act, shifting focus towards adjudication rather than prosecution. Additionally, the MCA has introduced several reforms to enhance corporate governance and ease of doing business.
These include the establishment of a Centralized Registrar of Companies ( CRC ) for faster incorporation, a Centre for Processing Accelerated Corporate Exit ( C-PACE ) for voluntary company exits, and a Central Scrutiny Centre ( CSC ) for streamlined scrutiny of e-forms.
Other notable initiatives include the introduction of the SPICe+ and FiLLiP e-forms, which consolidate multiple services like PAN, TAN, GST registration, and bank account opening into a single application. The government has also increased the threshold for small companies, reducing compliance costs, and introduced zero fees for companies with authorized capital up to Rs. 15 lakh.
These measures aim to create a more business-friendly environment, particularly in Rajasthan, while ensuring efficient corporate governance nationwide.
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