New company law to take another year

It's been in the making for two years now, but Indian corporates will have to wait for another year for a new company law that seeks to keep the government from interfering in the everyday affairs of companies.

The new law, based on the recommendations made by the JJ Irani Committee in 2005, is going through inter-ministerial discussions before it is placed in Parliament.

"My target was to introduce the Bill in the monsoon session of Parliament. But as it will replace an old law, which has been amended 25 times, we would be able to place it in Parliament only in the Winter session," Corporate Affairs Minister Prem Chand Gupta said on the sidelines of a seminar organised by the Institute of Trade and Industrial Development.

"By the middle of next year, you will have a new company law," he added.