Clarification - Shares held in a fiduciary capacity not counted in relationship of associate company under Companies Act, 2013

General Circular   No.   24/2014

No. 1/13/2013-CL-V (Part-I)

Government of India

Ministry of Corporate Affairs

‘A’ Wing, 5th Floor, A Wing,   Shastri Bhavan,

Dr R.P. Road, New Delhi

Dated: 25 ^th June, 2014

To

All Regional Directors,
All Registrars of Companies,
All Stakeholders.

Subject: Clarification with regard to holding of shares in a fiduciary capacity  by associate company under section 2(6) of the Companies Act, 2013.

Sir,

In continuation of the General Circular No.20/2013 dated 27/12/2013, it is clarified that the shares held by a company in another company in a 'fiduciary capacity' shall not be counted for the purpose of determining the relationship of 'associate company' under section 2(6) of the Companies Act, 2013.

2. This issues with the approval of the competent authority.

Yours   faithfully

(KMS Narayanan)
Assistant Director
23387263