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SeCTion-WiSe AnAlySiS of The ComPAnieS (AmendmenT) ACT, 2017

u Where such financial statements of subsidiary are in language
other than English, translated copy shall also be attached.
139 Ratification of appointment Requirement to ratify the appointment of auditor at every AGM
of statutory auditor is done away with.
143 Right of auditor Auditor of holding company has a right to access the records of
associate companies as well.
149 Companies to have Board u Person who has stayed in India for a minimum period of 182
of Directors days in previous financial year shall be considered as resident.
Further, for newly incorporated companies, the requirement of
182 days shall apply proportionately at the end of financial
year in which the company is incorporated.
u Change in eligibility criteria for independent directors.
(a) Person withdrawing remuneration in the capacity of In-
dependent director or having transaction not exceeding
ten per cent. of his total income or such amount as may
be prescribed, shall not be construed to have pecuniary
relationship with company.
(b) none of whose relatives-
(i) is holding any security of or interest in the company,
its holding, subsidiary or associate company during the
two immediately preceding financial years or during
the current financial year. However, relative may hold
security or interest in the company of face value not
exceeding fifty lakh rupees or two per cent. of the
paid-up capital of the company, its holding, subsidiary
or associate company or such higher sum as may be
prescribed;
(ii) is indebted to the company, its holding, subsidiary or
associate company or their promoters, or directors, in
excess of such amount as may be prescribed during the
two immediately preceding financial years or during
the current financial year;
(iii) has given a guarantee or provided any security in
connection with the indebtedness of any third person
to the company, its holding, subsidiary or associate
company or their promoters, or directors of such hold-
ing company, for such amount as may be prescribed
during the two immediately preceding financial years
or during the current financial year; or
(iv) has any other pecuniary transaction or relationship
with the company, or its subsidiary, or its holding
or associate company amounting to two per cent. or
more of its gross turnover or total income singly or
in combination with the transactions referred to in
sub-clause (i), (ii) or (iii);
152 Requirement of DIN Person to be appointed as a director, should have a DIN or such
other number as prescribed under section 153.

135
January 20 To January 26, 2018 u Taxmann’s Corporate Professionals Today u Vol. 41 u 29