HATE CRIMES IN INDIA
In recent years, the term “Hate crime” has echoed through the headlines of newspapers almost every day, shedding light on the diabolical reality that we live in, which affects people and entire communities across the country. Hate crime refers to a criminal activity that is motivated by bias against any person or group because of their religion, caste, race, ethnicity, sexual orientation or other protected characteristics. Hate Crimes can be physical abuse, verbal abuse, intimation or threats where these offenders target particular groups who are considered “marginalized”. National Crimes Records Bureau (NCRB) report on crime in 2022 reveals that there were 993 cases of such nature in 2021, which had increased to 1444 (45% increase) cases in 2022. There are laws in India that punish offenders who commit hate crimes. One such act is Bharatiya Nyaya Sanhita (BNS) 2023, which deals with hate speech under Sections 196, 197, 298, 302, 356(3) and 356(4), stating that any word spoken or written that encourages hatred, insults based on religion, ethnicity, culture, language, caste, community, race etc., shall be punishable under the law to protect the vulnerable communities. In the case of Shaheen Abdulla v. Union of India and Ors,(Writ Petition(s)(Civil) No.940/2022), The Supreme Court of India stated that unless there is harmony between religious communities, there wouldn’t be fraternity. The SC has shed light on the increasing events of hate speeches in India and has directed the Police authorities and government to take suomoto action against the offenders without holding back for the victim to lodge a complaint. The existence of hate crime in India reflects ingrained societal issues that demand comprehensive strategies for reform. These issues need legal actions and societal changes that promote equality and eliminate discriminatory norms regardless of who they are. Combating these issues will require consistent efforts from the people, government, civil society, and communities to create an environment where every person can live free from discrimination and fear. AUTHOR: Saraswathy Thogainathan, 5th year BBA. LL.B (Hons.), Saveetha School of Law, Chennai
ISSUES WITH TRANSFERRING COMPAT CASES WITH NCLAT
Competition Appellate Tribunal (COMPAT) is the statutory authority for dealing with the appeals issued and directed against the cases passed by the Competition Commission of India. As per the recent notice of notification no.1696(E) in 2017, the National Company Law Tribunal (NCLAT) took over the appellate function under the Competition Commission. The COMPAT ceased to exist from 26 May 2017. This amendment was made under the provisions of Part XIV OF Chapter VI of the Finance Act, 2017. Previously, the National Company Law Appellate Tribunal (NCLAT) dealt only with the appeals arising from the National Company law Tribunal (NCLT) and Insolvency and Bankruptcy Board of India (IBBI). Now, all the matters pending in the COMPAT will be heard fresh in NCLAT. This will again burden the parties as well as the litigators and would increase the cost of the proceedings. There will be a lot of confusion regarding the manner in which the transferred cases will be conducted. Amendments were made to Sections 2(ba) and 53A of the Competition Act and Section 410 of the Companies Act to reflect the new structure and responsibilities of NCLAT. The NCLAT is already loaded with appeals from NCLT and IBBI; it will further burden the appellate authority by transferring the COMPAT case. To control this, the Central Government could appoint more members to the appellate authority. AUTHOR: Saraswathy Thogainathan, 5th year BBA. LL.B (Hons.), Saveetha School of Law, Chennai
ROLES AND RESPONSIBILITIES OF AUDITOR UNDER COMPANIES ACT 2013
Auditors are key players in ensuring the integrity and transparency of various organizations’ financial reporting. Being a professional, they check whether financial statements are accurate and reliable to ensure that companies operate under the set regulatory standards and best practices. Scrutinizing financial records helps auditors develop valuable insights for making decisions by stakeholders such as investors and regulators. The increase in complexity in global financial systems and a demand for accountability makes the role of an auditor increasingly crucial for securing trust and stability in business. This article delves into the role and responsibilities of the auditors under the Companies Act, 2013. The appointment of an auditor is mentioned under Section 139 of the Companies Act, 2013, which mandates that every company must appoint an auditor at its first Annual General Meeting (AGM). The auditor typically holds office from the end of that meeting till the end of the sixth Annual General meeting. The powers and duties of an auditor are stated under Section 143 of the Companies Act, 2013. Powers and duties of the Auditor Section 143(1): This provision states that the auditor has the power to audit the books of accounts and relevant records to the extent mentioned in the act. Section 143(2): The auditor must report to the company and shareholders in writing about the financial statements and books of accounts, providing a genuine perspective of the company’s affairs. Section 143(3): The auditor has to create an opinion that should be included in the report regarding whether the books of account are created based on the standards set by the law, whether the financial statements are as per the accounting standards, whether the company has sufficient internal financial controls system and the efficiency of such controls. Section 143(4): The auditor proceeds to give any negative notes about the audit, he shall state the opinions with proper reasons. Section 143(5): In the case of a Government Company, the auditor shall be appointed by the Comptroller and Auditor-General of India under Section 139(5) or under Section 139(7) and direct the auditors on the manner in which the audit can be conducted. Further, the auditor shall submit the report to the Comptroller and Auditor-General of India. Section 143(9): Every Auditor is required to comply with the Auditing Standards. Section 143(10): The Auditing Standards are prescribed by the Central Government along with the recommendations of the Institute of Chartered Accountants of India, in consultation with the examination of the recommendations stated by the National Financial Reporting Authority. Section 143(14): The provisions of this section with necessary changes made shall apply to the cost accountant in practice conducting cost audit under Section 148 or the company secretary in practising conducting Secretarial audit under Section 204. AUTHOR: Saraswathy Thogainathan, 5th year BBA. LL.B (Hons.), Saveetha School of Law, Chennai
HOW ARE CASINOS LEGAL IN GOA?
The Public Gambling Act of 1867 prohibits gambling or betting activities because people’s indulgence in games of luck will probably lead to immoral and pernicious acts. Article 245 of the Indian constitution of 1945 provides state legislative power to make their laws, by which“Goa, Daman and Diu Public Gambling Act, 1976” legalised gambling in the sea and water of Goa with the government’s prior permission. To increase the revenue for the place, strict rules are imposed on the residents of Goa regarding access to casinos, as casinos are specifically for local and foreign tourists. No specific case law led to the development of the gambling laws in Goa. However, the need for entertainment for tourists in Goa created casinos, which created numerous laws and regulations like the Goa Casino Control and Management Act 1992, which regulates the operations of casinos in the state. The Goa Casino Rules, 2002, examine licensing, security, and operational standards. In the case of Lalit Sehgal v. State of Goa & Ors., 1994 SCC (6) 459, the petitioners challenged the Notification No. 2-20-92 issued under the Goa, Daman and Diu Public Gambling Act, 1976, which restricted the installation of electronic amusement/slot machines to only Five Star Hotels. The government can change its policy in the public interest, even if it affects legitimate expectations by which we can clearly understand that legalization of casinos in Goa is the choice made by the state. They formulated the legal provisions to maintain law and order peacefully. AUTHOR: J. Jeslin Jesiya, 5th year BBA. LL.B (Hons.), Saveetha School of Law, Chennai
MARKET EXTENSION MERGER
Companies merge together to extend the company’s services to the world on a large scale. The main goal of a market extension merger is to gain a more extensive client base and to access the larger market. In which two companies can be operating in the same industry or related industries. Companies that offer complementary products or services to other products to provide comprehensive products to the customer also fall under this preview. It benefits large companies by reducing risk, reaching out on a large scale, saving costs, diversifying, accessing new markets, synchronizing with other companies, and creating a competitive position with similar companies. The 2G scam and Reliance Jio’s disruptive pricing led to a merger between Vodafone India and Idea Cellular Limited. This strategic move aimed to create a stronger entity to compete effectively in the market. The merger, valued at $23 billion, resulted in the formation of Vi. Similarly, in the case of Pepsi and Pizza Hut merged to reach out to the market and showed an increasing sale. At the same time, these acts have to be looked into: The Competition Act, 2002, The Foreign Exchange Management Act, 1999 (FEMA), Sector-specific regulations, Indian Contract act,1872, the CCI’s decisions on merger cases and general legal principles to provide guidance. Companies contemplating market extension mergers in India should carefully evaluate the potential benefits and risks, consult legal experts, and comply with the applicable legal requirements. By doing so, they can navigate the complexities of the Indian legal landscape and successfully achieve their strategic goals. AUTHOR: J. Jeslin Jesiya, 5th year BBA. LL.B (Hons.), Saveetha School of Law, Chennai
FUNDAMENTAL DUTY OF PRESERVING THE NATURAL ENVIRONMENT
Article 51A of the Indian constitution requires every citizen to protect and improve the natural environment (forests, lakes, rivers, wildlife) and care for all living creatures. Even though it is the fundamental duty of the Indian citizens, It is an obligation we owe to ourselves, future generations, and the countless species that share our planet. A healthy environment provides us with clean air to breathe, clean water to drink, and fertile land to cultivate. It regulates our climate, safeguards biodiversity, and offers countless recreational opportunities. By safeguarding our environment, we ensure the sustainability of our planet and the well-being of all its inhabitants. People were not aware of the constitutional obligations regarding environmental protection. In addition, the environmental laws are ineffective in functioning, which leads to a lot of pollution. The case of Rural Litigation & Environment Kendra v. The State of U.P.[1] is a landmark case highlighting the importance of environmental protection and the right to have a healthy environment. The Supreme Court of India in that case held that a healthy environment is an integrated part of the right to life under Article 21 of the Indian constitution. It firmly established, directed, and promoted the right to a healthy environment, strengthening environmental regulations and sustainable development. [1] Rural Litigation & Environment Kendra v. The State of U.P.- 1989 AIR 594 1989 SCC Supl AUTHOR: J. Jeslin Jesiya, 5th year BBA. LL.B (Hons.), Saveetha School of Law, Chennai
RED HERRING PROSPECTUS
A red herring prospectus is a final document issued to investors after the approval of SEBI; before that, the company files a Draft Red Herring Prospectus (DRHP) when it plans to go public through IPO. Red herring refers to the red cover page of the file, which states that the information is incomplete and subject to change until the registration statement becomes effective. It has detailed information about the company and its activities, such as finances and objectives. Red herring prospectus contains Capital details, Offer details and objectives, an Overview of the industry, Financial details, Business description, Strategies, Company management, Promoters, Risks, and Dividends. It helps the investor to have comprehensive insight into the company’s finances and operations to make effective investment strategies. A red herring prospectus (RHP) is a prospectus document a company submits to the Securities and Exchange Board of India ( SEBI). Before getting approved, a number of drafts are created to be considered eligible. That is known as the Draft Red Herring Prospectus. The SEC reviews the RHP for incorrect or misleading information or any statement violating the laws or regulations. The SEC may also note any failure to disclose required information and ask the company to make changes. Once it is approved by SEBI, the Red Herring Prospectus becomes a vital tool for public companies. It ensures transparency, protects investor interests, helps gauge market sentiment, optimizes fundraising, and mitigates risks. By carefully reviewing the RHP, investors can make informed decisions about investing in the IPO. Red herring prospectus can be registered under the SEBI website https://www.sebi.gov.in/sebiweb/home/HomeAction.do?doListing=yes&sid=3&ssid=15&smid=11 AUTHOR: J. Jeslin Jesiya, 5th year BBA. LL.B (Hons.), Saveetha School of Law, Chennai
Revocation of Wasiyat (under Muslim law)
Wasiyat is known as will in Muslim law. A will or testament is a method that enables a Muslim person to dispose of his own property by giving it to someone whom he wants to give after his death. Section 3 of the Muslim Personal Law (Shariat) Application Act of 1937 deals with the concept of the will, legacies and adoption. It says that Wasiyat can be oral, written or a gesture made in a dead bed. It is a legal document made by the testator. It can be revised several times, but only the last wasiyat prevails and is considered to be valid. It typically involves the testator’s signature in the witness’s presence. Wasiyat is valid even if it is not registered under the Indian Regulation Act, 1908. The parties involved are testators( maker of the will), legatee ( will be made in favour), legacy ( property bequeathed in the will), and executors ( appointed by the testator or the court to execute the will). When it comes to the validation of a will, it becomes valid only after the death of the legator/ testament. The essentials of a valid Wasiyat are to fulfil all the conditions of the will and legal bequeathed at the time of making the will, consent of the legatee must hold the ownership, and the will has to be made in free consent. The testator can revoke a Wasiyat at any point of time before his death. If any essential points are violated, they may be revoked. Apart from that, there are two methods for revocation: they are expressed ( oral or written form of revocation) and implied (revocation by action, for example, disposal of property to someone else before death) and alteration of the subject matter:( If the alteration of the subject matter of the bequest, change the nature of the property then it can be revoked). AUTHOR: J. Jeslin Jesiya, 5th year BBA. LL.B (Hons.), Saveetha School of Law, Chennai