SCDL Legal Aspects of Finance

	Legal Aspects of Finance
sl no.	unit 1:-the payment of wages act 1936	pg no.
1	definition of wages	2
2	as per section 2(vi)	2
3	wages include	2
4	wages do not include	3
5	fixation of wage period and time	4
6	deduction from wages	5
7	fines	7
8	deduction for absence from duty	7
9	deduction for damages to or loss of goods or loss of money	7
10	deduction for payment to co-operative societies	7
11	offences and penalties	7
	unit 2:- the minimum wages act 1948
1	cost of living index number	16
2	employer	16
3	scheduled employment	16
4	wages	16
5	wages do not include	17
6	employee	17
7	fixation of minimum rates of wages	17
8	manner of fixation revision of minimum wages	18
9	minimum rate of wages	19
10	procedure for fixing and revising minimum wages (section 5)	20
11	first method section 5(1)a	20
12	second method section 591)b	20
13	important case laws	21
14	Bijo cotton Mills V.state of Ajmeer	21
15	U. Unichoy Vs. state of Kerala	21
16	crown aluminum works ltd Vs. their workmen	22
17	hydro (engineers) pvt ltd Vs. their workers	22
18	Kamani Metals and alloys ltd vs. its workmen	22
19	minimum wages whether to be paid in cash or kind	23
20	payment of minimum wages is obligator on employer	23
21	fixing hours for a normal working day etc	23
22	payment of overtime	24
23	wages of a worker who works less than normal working day	24
24	offences and penalties	25
25	penalties for certain offences	25
26	general provisions for punishment of other offences	25
27	cognizance of offences	26
28	offences by companies	26
29	actual offender to be punished	26
30	Bar of suits	26
	unit 3:- The payment of bonus Act 1965
1	accounting year	32
2	allocable surplus	33
3	appropriate government	33
4	award	33
5	employees	33
6	employer	33
7	establishment in private sector	34
8	establishment in public sector	34
9	salary or wage	34
10	eligibility for bonus	35
11	act not to apply to certain classes of employees	36
12	computation of allocable surplus	38
13	computation of gross profit under section 4	38
14	sum deductible from gross profit under section 6	38
15	set on and set off of allocable surplus section 15	40
16	payment of bonus	41
17	payment of minimum bonus section 10	42
18	payment of maximum bonus section 11	42
19	calculation of bonus with respect to certain employees section 12	42
20	proportionate reduction in bonus in certain cases section 13	42
21	eligibility of bonus	42
22	computation of number of working days section 14	43
23	adjustment of customary or interim bonus against bonus payable under the act section 17	44
24	deductions of certain amounts from bonus payable under the act section 18	44
25	time-limit for payment of bonus section 19	44
26	recovery of bonus due from an employer section 21	45
27	offences and penalties	46
28	penalty section 28	46
29	offences by companies section 29	46
	unit 4:- The payment of gratuity act 1972
1	establishment covered b the act	52
2	employee	52
3	continuous service section 2(A)	53
4	continuous service section 2(e)	53
5	employer section 2(f)	54
6	family section 2(h)	54
7	retirement section 2(q)	55
8	superannuation section 2((r)	55
9	wages section 2(s)	55
10	appropriate government section 2(a)	55
11	controlling authority section 3	55
12	payment of gratuity	56
13	to whom is gratuity payable	56
14	amount of gratuity payable -method of calculation	56
15	gratuity payable	56
16	reduction and forfeiture of gratuity	58
17	compulsory insurance section 4a	58
18	nomination	59
19	time limit for payment of gratuity	59
20	disputed claim of gratuity	60
21	recover of gratuity	60
22	display of abstract of the act and rules	60
23	penalties	61
	unit 5:- The Employee's provident funds and miscellaneous provisions act 1952
1	appropriate government section 2a	66
2	authorized officer section 2(aa)	66
3	basic wages section 2b	66
4	contribution section 2c	67
5	controlled industry section 2d	67
6	employee section 2f	68
7	exempted employee section 2ff	68
8	exempted establishment section 2fff	68
9	factor section 2g	68
10	industry section 2i	68
11	contributory provident fund scheme	68
12	employee's pension scheme	70
13	according to section 6A	70
14	deposit -linked insurance scheme	71
15	according to section 6c	71
16	payment of provident fund	73
17	interest payment by the employer	74
18	determination of money due from employer section 7a	74
19	mode of recover of money due from employer	76
20	recover of money by employers and contractors	77
21	transfer of account	78
22	liability in case of transfer of establishment	78
23	penalties	78
	unit 6:-The Employee's state insurance act 1948
1	appropriate government'	87
2	confinement	87
3	contribution	87
4	corporation	87
5	dependent	87
6	duly appointed	88
7	employment injury	88
8	employee	88
9	exempted employee	89
10	family	89
11	factory	89
12	immediate employer	89
13	insurable employment	90
14	insured person	90
15	managing agent	90
16	manufacturing process	90
17	miscarriage	90
18	occupier	90
19	permanent partial disablement	90
20	permanent total disablement	90
21	power	90
22	prescribed	90
23	principle employer	91
24	regulation	91
25	schedule	91
26	seasonal factory	91
27	sickness	91
28	temporary disablement	91
29	wages	91
30	wage period	92
31	registration of factories and establishments	92
32	administration of employee's state insurance scheme	92
33	standing committee	93
34	medical benefit council	93
35	employees state insurance fund	93
36	contributions	93
37	benefits under ESI scheme	98
38	sickness benefits	98
39	maternity benefit	99
40	disablement benefit	99
41	dependent benefit	99
42	medical benefit	99
43	funeral expenses	99
44	general provisions relating to benefits	100
45	benefits not assignable or attachable	100
46	bar of benefits under other enactments	100
47	no commission of cash benefits	100
48	persons not entitled to receive benefits in certain cases	100
49	observance of conditions by recipients of sickness or disablement benefit	100
50	benefit not to be combined	100
51	repayment of benefits improperly received	101
52	benefits payable up to and including day of death	101
53	benefits depend upon employees contribution	101
54	duties and responsibilities of employers	101
55	not to reduce wages	101
56	to pay excessive sickness benefits	101
57	employer not to discuss or punish employee during the period of sickness	101
58	employee's insurance court	102
59	penalties	102
60	enhanced punishment in certain cases after previous conviction	103
61	power to recover damages	104
62	schedules	104
63	description of injury	104
64	percentage of loss of earning capacity	104
65	list of injuries deemed to result in permanent total disablement	104
66	list of injuries deemed to result in permanent partial disablement	105
67	third schedule	107
	unit 7:-Workman's Compensation Act 1923
1	main features of the act	116
2	principles governing compensation	117
3	compensation	118
4	dependent	118
5	employer	119
6	partial disablement	119
7	temporary partial disablement and permanent partial disablement	119
8	total disablement	120
9	wages	121
10	workman	122
11	employer's liability for compensation	123
12	employer's liability in case of occupational diseases	124
13	personal injury	124
14	accident	124
15	arising out of and in the course of employment	124
16	state of Rajasthan Vs Ram Prasad and another	125
17	chairman Madras Port trust, Madras Vs Kamala	125
18	Director (T and M) D.N.K. Project Vs smt Buccitalli	125
19	zubeda Bano and others vs. Maharashtra S.R.T corporation and others	125
20	Rile V William Holland and sons ltd	125
21	nexus between the injury and employment	126
22	notional extension of place of employment	126
23	B.E.S.T	127
24	trusties of port Bombay Vs. Yamuna Bai	127
25	Jaantilal Dhanji and CO vs. E.S.I.Corpn	127
26	payment of compensation	128
27	amount of compensation	128
28	compensation to be paid when due, and penalty for default	130
29	method of calculating wages	131
30	commutation of payment	132
31	distribution of compensation	132
32	reference to commissioner	134
33	compensation to be first charged on assets transferred b employer	134
34	returns as to competition	135
35	penalties	135
	unit 8:- Provisions of Indian companies act 1956 pertaining to capital and investment
1	private of company	140
2	public company	140
3	abridged prospectus	141
4	articles	141
5	board of directors	141
6	book and paper	141
7	debenture	141
8	document	141
9	employees stock option	141
10	financial year	141
11	limited company	141
12	listed public companies	141
13	manager	141
14	managing director	142
15	memorandum	142
16	officer	142
17	paid-up-capital	142
18	prospectus	142
19	registrar	142
20	share	142
21	share with differential rights	142
22	total voting power	142
23	incorporation of a company	142
24	alteration to the authorized capital of the company	143
25	share capital	144
26	equity shares with differential voting rights	145
27	member of the company	146
28	certificate of shares	146
29	penalty for fraudulently inducing persons to invest money	147
30	section 68A personation for acquisition etc of shares	147
31	section 68B initial offer of securities to be in dematerialized form in certain cases	147
32	voting rights	148
33	transfer of shares and debentures	148
34	nomination of shares or debentures	149
35	debentures	150
36	incorporation of a company	150
37	section 117A- debenture trust deed	150
38	section 117B-appoinmnet of debenture trustees and duties of debenture trusties	150
39	section 117C liability of company to create security and debenture redemption secure	152
40	public posts	152
41	section 58A deposits not to be invited without issuing an advertisement	152
42	section 58AA small depositors	154
43	section 58AAA default in acceptance or refund of deposits to be cognizable	156
44	58B- provisions relating to prospectus to apply to advertisement	156
45	inter corporate loans and investment	156
	unit 9:-Provisionms of Indian Companies Act 1956 pertaining to registration of charge
1	raising finance from banks/ financial institutions	162
2	registration of charge with registrar of companies	162
3	section 125 certain charges to be void against liquidator or creditors unless registered	163
4	section 126- date of notice of charge	164
5	section 127- registration of charges on properties acquired subject to change	164
6	section 130- registrar of charges to be kept by registrar	165
7	section 131- index to register of charges	166
8	section 132 certificate of registration	166
9	section 142- penalties	166
10	section 143- Companies register of charges	167
11	modification of charges	168
12	particulars in case of series of debentures entitling holders pari passu	168
13	satisfaction of charge	168
14	formats used in registration of charge	170
15	particulars of charge under section 125	170
16	form no.13	171
17	the companies act 1956	171
18	particulars of charge under section 125	171
19	particulars regarding creation of charge in case of series of debenture under section 128/129	172
20	particulars of modification of charge under section 135	172
21	appointment of receiver under section 137	172
22	memorandum of complete satisfaction of charge under section 138	173
	unit 10:-Annual accounts and Balance sheet
1	provisions regarding accounts	178
2	rights of memebers to copies of balance sheet and auditors report	179
3	books of account to be kept b the commpan	180
4	section 221- dut of officer to make disclosure of pament	181
5	contents of balance sheet & profit and loss account	181
6	balance sheet of holding compan to inlcude certain particulars of its subsidiaries	186
7	the balance sheet shall be made	186
8	authentication of balance sheet and profit and loss account	187
9	form no.23AA	188
10	the companies act 1956	188
11	inspection of books of account	188
12	board's report	189
13	CEO/CFO certification	191
	unit 11:- Provisions regarding auditors, directors etc
1	directors	196
2	loans to directors	197
3	when a director is deemed to be interested in a contract	197
4	board's sanction for certain contracts in which particular directors are interested	197
5	disclosure of interest by directors	198
6	remuneration to directors	198
7	audit	200
8	section 224-appoinment and remuneration of auditors	200
9	specified number of companies means	201
10	cases in which appointment of the auditors requires the approval of the company by special resolution	201
11	powers and duties of auditors	202
12	audit of cost accounts in certain cases	202
13	section 229 signature of audit report etc	202
14	section 230 reading and inspection auditors report	203
15	section 231 right of auditors to attend general meeting	203
16	section 232 penalty for non-compliance with section 225 to 231	203
17	section 233 penalty for non compliance b auditor with section 227 and 229	203
18	role of audit committee	203
19	review of information by audit committee	205
20	corporate governance	206
21	composition of board	206
22	non mandatory requirement	207
23	chairman of the board	207
24	remuneration committee	207
25	disclosure of contingent liabilities	208
26	disclosure related part transactions	208
27	proceeds from initial public offerings IPO	208
28	board disclosures- risk management	208
29	disclosure of accounting treatment	208
30	miscellaneous provision	209
31	statutory meeting	209
32	annual general meeting	209
33	prohibitions and restrictions regarding political contributions	209
34	appointment of sole selling agents	210
35	power of registrar to call for information or explanation	210
	unit 12:-Statutor Provisions of India's Foreign trade
1	exchange control relating to import	216
2	imports from nepal and Bhutan	216
3	import licenses	216
4	obligations of the purchaser of the exchanges	217
5	manner of rupee payment	218
6	letter of authority	218
7	advance remittance	218
8	time limit of settlement of import bill	219
9	interest on import	219
10	import under penalty	220
11	exchange control relating to exports	220
12	declaration of exports	220
13	manner of payment of export bills	221
14	time limit for realization	222
15	reduction in invoice value on account of prepayment	223
16	reduction in value: other cases	223
17	change of buyer/ consignee	223
18	write off an unrealized export bill	223
19	consignment export	224
20	exports requiring prior approval of Reserve bank or Govt authorities	225
21	advance payments against exports	225
22	remittance connected with exports	225
23	agency commission	225
24	export claims	225
25	authorized dealers obligation	227
26	authorized dealers may	228
27	liberalization of export and import procedures announced b RBI	231
28	imports	232
29	different time base prescribed in RBI directives	233
30	the foreign trade development and regulation act 1992	233
31	objective	234
32	main provisions	234
33	development and regulations	234
34	prohibition and restriction	234
35	exim policy	234
36	director general of foreign trade	234
37	importer exporter code number	234
38	issue and suspension /cancellation of license	235
39	search , inspection and seizure	235
40	penalty for contravention	235
	unit 13:- Foreign Investment in India
1	important directives of RBI	240
2	automatic route	240
3	government route	241
4	general permission of RBI under FEMA	241
5	on receipt of money for investment	241
6	on issue of shares to foreign investors	242
7	transfer from nonresident to non-resident	242
8	transfer from resident to non-resident	243
9	transfer by way of gift	244
10	investment through preference shares	245
11	foreign direct investment	246
12	foreign technical collaboration	247
13	general	249
14	hotel & tourism related industries	249
15	procedure for granting approval	249
16	documentation	250
17	standard conditions attached to approvals for technology agreement	250
18	portfolio investment	253
19	regulation regarding portfolio investment by NRI/PIO are as under	254
20	other investment	254
21	opening of an office in India	255
22	regulations regarding foreign institutional investors	257
23	external commercial borrowings	258
24	fund raising	258
25	underwriting	258
26	hedging	258
27	arbitraging	258
28	ECB products	258
29	note issuance facility	258
30	syndicated loans	258
31	floating rate notes	258
32	Euro commercial paper ECP	259
33	foreign currency convertible bonds FCCBs	259
34	ADRS and GDRS	259
35	American depository receipts	259
36	GDR- global depositary receipts	259
37	RBI regulation pertaining to issue of ADR/GDR b Indian companies\	259
38	sponsored aADR/GDR	260
39	two way fungibility scheme	260
	unit 14: - facilities for resident
1	foreign exchange facilities for residents as on January 2006	266
2	guidelines on travel related matters	266
3	EEFC accounts	271
4	RFC accounts	272
5	RFC domestic account	272
6	liberalized remittance scheme	272
7	permissible capital account transaction	274
8	permissible capital account transactions	274
9	method of payment for investment	275
10	declaration to be furnished	275
11	schedule	275
12	schedule	275
13	export and import of currency	276
14	notification of RBI no.FEMA 6 /RB-2000 dated 3rd May 2000	276
15	borrowing and lending in rupees	279
16	notificationno.FEMA 4 /2000-RB dated 3rd May 2000	279
17	providing housing loan in rupees to a nonresident	280
18	acquisition and transfer of immovable property outside India	284
19	notification no.FEMA 7/2000-RB dated 3rd may 2000	284
20	realization, repatriation and surrender of foreign exchange	285
21	notification of RBI no.FEMA 9 /RB-2000 dated 3rd May 2000	285
22	facilities for foreign nationals and foreign tourists	286
	unit 15:-facilities for non-residents
1	authorized bank	292
2	authorized dealer	292
3	deposit	292
4	FCNR(B)	292
5	non-resident Indian	292
6	NRE account	292
7	NRO account	292
8	NRNR account	292
9	NRSR account	293
10	overseas corporate body-OCB	293
11	Person of Indian Origin	293
12	Schedule	293
13	restrictions on deposits between a person resident in India and a person resident outside India	293
14	exemptions	293
15	acceptance of deposits by an authorized dealer/ authorised bank from persons resident outside India	295
16	other deposits made or held by authorized dealer	295
17	acceptance of deposits by persons other than authorized dealer/authorized bank	296
18	deposits in certain other cases	296
19	acceptance of deposits by authorized dealer with the prior approval of Reserve Bank	297
20	nomination	297
21	non-resident (external ) Rupee account scheme	297
22	eligibility	297
23	types of account	297
24	permitted credits	297
25	permitted debits	299
26	rate of interest	299
27	loans against security of funds held in the account	299
28	to account holder	299
29	to third parties	300
30	loans outside India	300
31	change of resident status of the account holder	300
32	registration of funds to nonresident nominee	301
33	miscellaneous	301
34	joint accounts	301
35	opening of account during temporary visit	301
36	operations by power of authority	301
37	special series of change	301
38	temporary overdrawing	302
39	remittances abroad b resident nominee	302
40	Tax exemption	302
41	Reporting	302
42	foreign currency (non-resident ) account bank) scheme- FCNR(B)	303
43	eligibility	303
44	designated currencies	303
45	type of account	303
46	rate of interest	304
47	permissible debits credits	304
48	rate for conversion of Rupees into designated currencies and vice versa	304
49	inland movement of funds	304
50	manner of payment of interest	304
51	loans/ overdraft against security of funds held in the account	305
52	change of resident status of holder account	305
53	joint account, repatriation of balances etc	305
54	reporting	305
55	other features	305
56	nonresident ordinary rupee(NRO) account scheme	306
57	eligibility	306
58	type of account	307
59	permissible debits credits	307
60	remittance of funds held in NRO account	307
61	grant of loans overdraft	308
62	to account holder	308
63	to third parties	308
64	treatment of loans overdraft in the event of change in the resident status of the borrower	308
65	joint account with resident	309
66	change of resident status of account holder	309
67	payment of funds to nonresident nominee	309
68	inland movement of funds	309
69	acceptance of deposits on repatriation basis	310
70	facilities for foreign nationals and foreign tourists	312
71	facilities to returning NRIs/PIO	313
72	retuning NRIs/PIO	313
	unit 16:- Central Excise Act 1944
1	adjudicating authority	318
2	appellate tribunal	318
3	broker	318
4	central excise officer	318
5	curing	318
6	excisable goods	318
7	factory	318
8	manufacture	318
9	sale and purchase	319
10	wholesale dealer	319
11	charging of excise duty	319
12	section 3	319
13	valuation of goods chargeable to duty	321
14	place of removal	322
15	transaction value	322
16	valuation of excisable goods with reference to retail sale price	322
17	remission of duty on goods found deficient in quantity	323
18	power to grant exemption from duty of excise	324
19	form or method	325
20	offences and penalties	326
21	certain offences to be non-cognizable	327
22	offences by companies	327
23	power of court to publish name place of business etc of persons under the act	328
24	presumptions of culpable mental state	329
25	relevance of statement under certain circumstances	329
26	application of section 562 of the code of criminal procedure,1898 and of the probation of offenders act 1958	329
27	power of courts to order forfeiture	330
28	recover of sums due to government	330
29	recover of duties not levied or not paid or short -levied or short paid or erroneously refunded	330
30	interest on delayed payment of duty	333
31	interest on delayed payment of duty	334
32	penalty for short-levy or nonlevy of duty on certain case	335
33	refund of duty	336
34	claim for refund of duty	336
35	refund	338
36	relevant date	338
37	interest on delayed refunds	339
38	other legal provisions	340
39	registration of certain persons	340
40	restriction on possession of excisable goods	340
41	power not to recover duty of excise not levied or short-levied as a result of general practice	340
42	duties of excise collected from the buyer to the deposited with the central government	341
43	application of the provisions of Act no 52 of 1962 to central excise duties	342
44	price of goods to indicate the amount of duty paid thereon	342
45	presumption that the incidence of duty has been passed on to the buyer	342
46	consumer welfare fund	343
47	utilization of the fund	343
48	manufacture	343
49	power to arrest	344
50	power to summon persons to give evidence and procedure documents in inquiries under this act	344
51	special audit in certain cases	344
52	social audit in cases where credit of duty availed or utilized is not within the normal limits etc	345
53	officers required to assist central excise officers	346