{"id":2508,"date":"2019-11-05T12:57:01","date_gmt":"2019-11-05T07:27:01","guid":{"rendered":"https:\/\/aktassociates.com\/blog\/?p=2508"},"modified":"2019-11-05T12:57:02","modified_gmt":"2019-11-05T07:27:02","slug":"section-205-functions-of-company-secretary","status":"publish","type":"post","link":"https:\/\/aktassociates.com\/blog\/section-205-functions-of-company-secretary\/","title":{"rendered":"Section 205-Functions of Company Secretary"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_66_1 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >In this article, we will discuss about...<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #1e73be;color:#1e73be\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #1e73be;color:#1e73be\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/aktassociates.com\/blog\/section-205-functions-of-company-secretary\/#Overview\" title=\"Overview:-\">Overview:-<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/aktassociates.com\/blog\/section-205-functions-of-company-secretary\/#Responsibility_of_Compliance\" title=\"Responsibility of Compliance\u00a0\">Responsibility of Compliance\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/aktassociates.com\/blog\/section-205-functions-of-company-secretary\/#Section_205-Functions_of_Company_Secretary\" title=\"Section 205-Functions of Company Secretary\">Section 205-Functions of Company Secretary<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/aktassociates.com\/blog\/section-205-functions-of-company-secretary\/#Reporting_to_Board_Relating_to_Compliance_with_Other_Applicable_Laws\" title=\"Reporting to Board Relating to Compliance with Other Applicable Laws\u00a0\">Reporting to Board Relating to Compliance with Other Applicable Laws\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/aktassociates.com\/blog\/section-205-functions-of-company-secretary\/#Greater_Role_for_Company_Secretaries_in_ensuring_Compliance\" title=\"Greater Role for Company Secretaries in ensuring Compliance\">Greater Role for Company Secretaries in ensuring Compliance<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/aktassociates.com\/blog\/section-205-functions-of-company-secretary\/#Non-Compliance\" title=\"Non-Compliance\u00a0\">Non-Compliance\u00a0<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Overview\"><\/span><b>Overview:-<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Under the<a href=\"https:\/\/aktassociates.com\/blog\/incorporation-of-company\/\"> Companies Act, 2013<\/a> the role of the company secretary has been considerably widened inasmuch as now he is not only responsible for the compliances under the Company law but also in respect of compliances under all other applicable laws. A brief look at other applicable laws.<\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-2518 size-full\" src=\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/11\/Section-205-Functions-of-Company-Secretary.png\" alt=\"Section 205-Functions of Company Secretary\" width=\"700\" height=\"400\" srcset=\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/11\/Section-205-Functions-of-Company-Secretary.png 700w, https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/11\/Section-205-Functions-of-Company-Secretary-300x171.png 300w, https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/11\/Section-205-Functions-of-Company-Secretary-20x11.png 20w\" sizes=\"(max-width: 700px) 100vw, 700px\" \/><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Responsibility_of_Compliance\"><\/span><b>Responsibility of Compliance<\/b><span style=\"font-weight: 400;\">\u00a0<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">The company secretary being a compliance officer has got a greater responsibility to ensure that the compliance relating to all the applicable laws to the organization is complied with. The company secretary has to virtually ensure that compliance relating to all other laws except Companies Act and market regulations are ensured \/done by the departmental heads responsible for the function and the company secretary only checks and monitors the compliance and report to the board members. Here again, the company secretary has to play a very vital role since he has to report to the managing director\/board that all compliance required to be done are in fact done. Needless to mention, the highest governing body \u2013 i.e. \u2013 the board of directors would place reliance on the report provided by the company secretary on compliance matter.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Section_205-Functions_of_Company_Secretary\"><\/span><b>Section 205-Functions of Company Secretary<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">The functions of the company secretary shall include:-<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u00a0(a) \u00a0 Reporting compliance to the Board under the Company\u2019s Act<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u00a0(b)\u00a0 Having Assurance about the company\u2019s compliance\u00a0 with the relevant <\/span>secretarial\u00a0 standards<b>;<\/b><\/p>\n<p><span style=\"font-weight: 400;\">\u00a0(c)\u00a0 \u00a0Discharging Duties as applicable (as may be prescribed)<\/span><\/p>\n<p><b>Note: <\/b><b>Section 204 and Section 205:-<\/b>Duties and Functions of the Board of Directors do affect the company\u2019s chairperson, Director (either, Managing or Whole-Time) under this Act or other law.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Reporting_to_Board_Relating_to_Compliance_with_Other_Applicable_Laws\"><\/span><b>Reporting to Board Relating to Compliance with Other Applicable Laws<\/b><span style=\"font-weight: 400;\">\u00a0<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Under section 205(1) (a), one of the functions is that the company secretary is required to report to the board about the compliance not only under the Companies Act but also compliance relating to all other Acts that are applicable to the company. This particular provision which has been included for the first time in the Companies Act is very significant and calls for a larger responsibility on the part of the CS( company secretaries) either both in whole-time practice or in employment as the case may be.\u00a0<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Greater_Role_for_Company_Secretaries_in_ensuring_Compliance\"><\/span><b>Greater Role for Company Secretaries in ensuring Compliance<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">\u00a0The compliance aspect of any business exhibits that the company is a compliant company and it also helps to build up the company\u2019s image and brand \u2013 the company secretary has got a greater role to play in ensuring the compliance by taking the following steps:- (a) Identification of all applicable laws in the first instance. (b) Running the checks as to what is required to be complied with in respect of each law<\/span><\/p>\n<h2><a href=\"https:\/\/aktassociates.com\/start-a-business\/private-limited-company-registration\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-2057 size-full\" src=\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/09\/Register-Your-company.png\" alt=\"company registration\" width=\"700\" height=\"150\" srcset=\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/09\/Register-Your-company.png 700w, https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/09\/Register-Your-company-300x64.png 300w, https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/09\/Register-Your-company-20x4.png 20w\" sizes=\"(max-width: 700px) 100vw, 700px\" \/><\/a><\/h2>\n<h2><span class=\"ez-toc-section\" id=\"Non-Compliance\"><\/span><b>Non-Compliance<\/b><span style=\"font-weight: 400;\">\u00a0<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">In spite of having a system in place, the possibility of noncompliance cannot be ruled out. In the case of Non-Compliances, CS has to Take Immediate Action so as to prevent from Immediate penalty (either Rigorous or Normal)as the case may be. In every board meeting normally there will be an item called a review of matter arising out of previous meetings or action taken the report by whatever name it is called. Any <a href=\"https:\/\/aktassociates.com\/blog\/active-non-compliant-companys-director\/\">non-compliance<\/a> is definitely required to be addressed by the board and necessary action was taken in setting right the same. Obviously the board would only provide decision and the company secretary, after having the decision from the board has to ensure for necessary implementation as directed\/guided by the board.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Overview:- Under the Companies Act, 2013 the role of the company secretary has been considerably widened inasmuch as now he &#8230; <\/p>\n<p class=\"read-more-container\"><a title=\"Section 205-Functions of Company Secretary\" class=\"read-more button\" href=\"https:\/\/aktassociates.com\/blog\/section-205-functions-of-company-secretary\/#more-2508\">Read more<span class=\"screen-reader-text\">Section 205-Functions of Company Secretary<\/span><\/a><\/p>\n","protected":false},"author":4,"featured_media":2520,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.8 - 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