We have the privilege and honour to present the report of the Company Law Committee set up on 18th September, 2019, to make recommendations to the Government inter alia on further decriminalization of certain “compoundable offences”, consequential amendments and certain other changes in the LLP Act, 2008 to facilitate and promote ease of doing business and ease of living.
The Committee had the privilege of participation of various representatives in respect of decriminalization. During course of deliberations, it was endeavored to arrive at a meaningful understanding of the nature and gravity of the offences. In respect of offences involving frauds, deceit, injury to public interest and wrongful dealings, status quo has been retained. A principle-based approach was followed by the Committee while making recommendations for amendments in the LLP Act.
Through this Report the Committee has recommended to decriminalize twelve compoundable offences and omission of one penal provision in the Act. No change has been suggested in the serious non-compoundable offences provided under the LLP Act. The Committee also took note of certain issues which required urgent action to facilitate greater ease of doing business and thereby greater ease of living for corporates and stakeholders in the country. These were also examined and suitable recommendations have been included in this Report.