The
Ministry of Corporate Affairs is in the process of developing an early warning
system to identify early signs of frauds including potential frauds. Giving
this information in written reply to a question in the Rajya Sabha today, Shri
Sachin Pilot, Minister of Corporate Affairs, said that Pilot testing of the
proposed system is expected to be completed during 2013-14.
Regarding
action against companies indulging in defrauding investors through ponzi
schemes, Shri Pilot informed the House that his Ministry has ordered
investigation under Section 235 of the Companies Act, 1956 to be conducted by
Serious Fraud Investigation Office on the basis of reports of Registrars of
Companies in respect of 67 such companies who had allegedly floated ponzi
schemes and investigation is being conducted in respect of all of them. As and
when the investigation is completed, Government orders prosecution in respect
of violations of the provisions of the Companies Act, 1956 and Indian Penal
Code, 1860.
0 comments:
Post a Comment