After encouraging and inspiring everyone to launch their startups, Govt. of India has now diverted their attention to the serious issue of customer grievances. And the process has started from digital businesses.
Govt. of India has now made it mandatory for all digital businesses to provide their contact details in order to make it easier for customers to address their grievances and issues related to their products/services.
This is for the very first time in India that Internet based businesses are being forced to reveal major business information online.
Every website based business in India are now mandated to provide these information in their portal:
- Contact address for customers where they can reach in case of grievances
- Name of the owner
- Name of the contact person in case of any grievances related to the product/service offered by the business
- Registered address of the business
- Corporate Identity Number (CIN)
- Telephone number
- Fax number
Once a new company is registered under Companies Act, CIN is automatically issued to that new company.
These new mandatory rules have come up after repeated complaints received from customers against fly-by-night websites who dupe their customers and then vanish into thin air.
Stricter Rules Related To Registration Of Companies
Ministry of Corporate Affairs have again amended the Companies Act 2013 to make it tough for some companies to pass on their liabilities and debts.
As per the new amendments, an unlimited liability company will now have to follow more rules and regulations, in case they wish to change into a limited liability company, limited by shares and guarantees.
After the request for conversion comes in, the said company cannot change their name for a year; and unless their debts and liabilities are paid, they cannot issue dividents to their shareholders and investors.
The Ministry in their latest notification said, “past debts, liabilities, obligations or contracts do not include secured debts due to banks and financial institutions”.
Previously, as part of modernizing Indian entrepreneurial outlook, and reforming the sector, Govt. had made it easier for foreign investors to take an exit from a businesses and introduced several amendments into the original Act (which recommended jail term incase anyone failed to file returns)