ICSI urges the Ministry of Corporate Affairs to enforce Section 203 compliance on eligible companies failing to appoint whole-time company secretaries.
ICSI Seeks Compliance on Whole-Time Company Secretaries Appointment
The Institute of Company Secretaries of India (ICSI) has reached out to the Ministry of Corporate Affairs (MCA), advocating for action against companies that fail to appoint Whole-Time Company Secretaries as mandated by Section 203 of the Companies Act. This regulation exists to enhance corporate governance and transparency.
The ICSI's representation highlights that merely having contractual appointments does not fulfill legal obligations under the Act, as this undermines corporate governance structures and creates potential risks for companies.
Corporate lawyers should advise their clients to comply with Section 203 to ensure they maintain robust governance practices, as non-compliance could lead to regulatory scrutiny and reputational damage.
