The Companies Regulations 2024 introduce significant amendments and enhancements to the Companies Act 2017, aimed at modernising corporate governance, improving compliance, and facilitating ease of doing business in Pakistan. Key changes include:
- Reservation of Name and Change Thereof: The new regulations streamline the process for reserving and changing the name of a company. Regulations 4 and 7 under Chapter II specify the procedures and timelines for these actions, making the process more transparent and efficient.
- Provisions Related to Foreign Companies: Chapter IV, encompassing Regulations 20 to 28, introduces new compliance requirements for foreign companies operating in Pakistan. These regulations mandate detailed reporting and disclosure obligations to ensure foreign entities align with local corporate governance standards.
- Reporting and Compliance: Chapter V addresses comprehensive reporting and compliance requirements. Specific provisions, such as Sr. Nos. 3, 6, 7, 11, 14, and 15 to 19 of Regulation 30(1), enhance the disclosure standards for companies. The inclusion of detailed annexures and forms ensures uniformity in reporting practices.
- Companies Registration Offices: Regulations 81(2) and 82 under Chapter VI enhance the operational efficiency of Companies Registration Offices. These changes focus on improving the accessibility and reliability of company registration services across the country.
- Easy Exit of Defunct Companies: Chapter XII introduces Regulations 144 to 146, which provide a streamlined process for the dissolution of defunct companies. This includes simplified procedures for winding up and removing defunct companies from the register, thus reducing the administrative burden on both the companies and the regulatory authorities.
- Penalties for Non-Compliance: Chapter XIII specifies penalties for contraventions of the regulations. Regulation 147 imposes strict penalties to ensure compliance, thus reinforcing the regulatory framework’s robustness.
- Repeal and Savings: Regulation 148 repeals several existing regulations, including the Companies (Incorporation) Regulations 2017, and integrates their provisions into the new regulatory framework. This consolidation aims to eliminate redundancy and streamline the regulatory landscape
. - Principal Line of Business Reporting: Regulation 36 mandates companies to report their principal line of business within a specified period, ensuring that the registrar has up-to-date information on the nature of business activities conducted by the companies
Alteration of Memorandum and Articles of Association: Regulation 37 introduces a structured process for altering the memorandum and articles of association. This includes requirements for special resolutions, petitions to the Commission, and no-objection certificates from creditors and relevant authorities
Forms and Documentation: The regulations also introduce several new forms and documentation requirements, such as Form-A for annual returns, Form-4 for reporting changes in the principal line of business, and detailed annexures for various compliance aspects
Q & A on the changes brought about by the Companies Regulations 2024
Q: What is the new requirement for reserving a company name under the 2024 regulations compared to the 2017 Act? A: The 2024 regulations require that a separate application for reserving a company name can now be submitted online or physically, with the option to propose up to three names in order of priority. This process has been streamlined to ensure quicker approvals and rejections, as opposed to the 2017 Act which lacked this level of detail and flexibility.
Q: How have the reporting and compliance obligations changed under the 2024 regulations? A: The 2024 regulations have introduced a comprehensive set of reporting and compliance obligations under Chapter V, including specific regulations and annexures detailing the exact requirements for various types of companies. This is an enhancement over the 2017 Act, which provided general guidelines but lacked the specificities now included.
Q: What changes have been made regarding the incorporation process of foreign companies in the 2024 regulations? A: The 2024 regulations under Chapter IV specify new detailed documentation and information requirements for foreign companies establishing a place of business in Pakistan. This includes obtaining security clearance and maintaining records of ultimate beneficial owners, which were not as explicitly defined in the 2017 Act.
Q: How has the process for altering the memorandum and articles of association changed? A: The 2024 regulations require a structured process including special resolutions, petitions to the Commission, and obtaining no-objection certificates from creditors and relevant authorities for altering the memorandum and articles of association, as specified in Regulation 37. The 2017 Act did not provide this level of procedural detail.
Q: What are the new penalties for non-compliance under the 2024 regulations? A: Chapter XIII of the 2024 regulations introduces strict penalties for various contraventions, which are detailed in Regulation 147. This includes monetary fines and other sanctions, aiming to enforce compliance more rigorously than the 2017 Act, which had more general penalty provisions.
Q: How have the requirements for filing annual returns changed? A: The 2024 regulations introduce Form-A for annual returns, which includes more detailed information and standardized reporting compared to the 2017 Act. This ensures better compliance and data collection by the registrar.
Q: What is the new requirement for reporting the principal line of business under the 2024 regulations? A: Regulation 36 of the 2024 regulations mandates companies to report their principal line of business within a specified period. This requirement was not explicitly detailed in the 2017 Act.
Q: How have the provisions related to the easy exit of defunct companies been updated? A: Chapter XII of the 2024 regulations provides a streamlined process for the dissolution of defunct companies, including simplified procedures for winding up and removal from the register. The 2017 Act did not have a specific chapter dedicated to this, making the new regulations a significant improvement.
Q: What are the new documentation requirements for the incorporation of a company? A: The 2024 regulations specify that applications for incorporation must include a detailed list of documents such as valid CNICs/NICOPs, memorandums, articles, and evidence of payment of fees. This level of detail was not present in the 2017 Act, which had more general requirements.
Q: How has the role of the registrar changed under the 2024 regulations? A: The 2024 regulations grant the registrar more specific powers to examine documents, communicate discrepancies, and enforce compliance within stipulated timeframes, as seen in Regulation 15. This provides a more robust framework compared to the 2017 Act.
Q: What are the new security clearance requirements for foreign subscribers under the 2024 regulations? A: Regulation 19 of the 2024 regulations mandates that foreign subscribers, especially those from countries of concern, must obtain security clearance from the Ministry of Interior. This process includes detailed documentation and is more stringent than what was outlined in the 2017 Act.
Q: How have the requirements for electronic submissions of documents been updated? A: The 2024 regulations emphasize the use of electronic submissions through e-services, providing clear guidelines on digital documentation and signatures. The 2017 Act did not specify these electronic procedures in detail, reflecting a shift towards digitization.
Q: What new definitions have been introduced in the 2024 regulations? A: The 2024 regulations introduce several new definitions, such as “authorized intermediary,” “electronic database,” and “ultimate beneficial owner,” which clarify roles and requirements within the regulatory framework. These definitions enhance the clarity and enforceability of the regulations compared to the 2017 Act.
Q: How has the process for appointing first directors and the chief executive officer been detailed in the 2024 regulations? A: The 2024 regulations provide a structured process for appointing first directors and the CEO, requiring specific forms and documentation, as outlined in Regulation 12. This process is more detailed than the 2017 Act, ensuring clear governance from the outset of incorporation.
Q: What changes have been made regarding the alteration in the details of foreign companies? A: Regulation 24 of the 2024 regulations mandates that any alterations in the charter, address, directors, or principal officers of foreign companies must be reported and registered with the registrar within specified timeframes. This is a significant enhancement over the 2017 Act, which did not provide such detailed requirements.
Q: How have the provisions for the reservation of names by foreign companies changed? A: The 2024 regulations, specifically Regulation 4, outline a more detailed process for foreign companies to reserve names, including requirements for documentation and certification from their country of origin. The 2017 Act did not detail this process as extensively.
Q: What are the new requirements for the filing of accounts by foreign companies? A: Regulation 25 of the 2024 regulations stipulates that foreign companies must file their accounts annually, including details of Pakistani members and places of business. This requirement ensures greater transparency and was not as explicitly mandated in the 2017 Act.
Q: How have the requirements for electronic records and databases changed? A: The 2024 regulations introduce the concept of an “electronic database” for maintaining company records, emphasizing the use of digital systems for registration and compliance. This modernizes the framework compared to the 2017 Act, which did not explicitly mention electronic databases.
Q: What changes have been made to the requirements for witness signatures on documents? A: The 2024 regulations specify that in cases of physical submission, documents must be witnessed by a Pakistani national with a valid CNIC, and notary requirements are detailed. This was less defined in the 2017 Act, which did not emphasize witness requirements as clearly.
Q: How have the regulations enhanced the role of the Securities and Exchange Commission of Pakistan (SECP)? A: The 2024 regulations enhance the SECP’s role by granting it broader powers to enforce compliance, conduct inspections, and impose penalties for non-compliance, as detailed in various chapters. This is a significant expansion compared to the 2017 Act.
Q: What are the new documentation requirements for the change of name by a foreign company? A: Regulation 7 of the 2024 regulations outlines that foreign companies must submit an application for a name change, accompanied by documents such as a name availability letter, board resolutions, and certificates of change from their country of origin. This process is more detailed compared to the 2017 Act.
Q: How have the requirements for registering charges been updated? A: The 2024 regulations require that all charges created by a company must be registered with detailed information and supporting documentation, including electronic submission options. This adds clarity and efficiency compared to the 2017 Act, which had less specific provisions on electronic submissions.
Q: What new provisions have been introduced for the reporting of beneficial ownership? A: Regulation 23 of the 2024 regulations mandates foreign companies to report and maintain records of ultimate beneficial owners who hold at least 25% of shares or voting rights. This requirement for transparency was not explicitly detailed in the 2017 Act.
Q: How has the process for dealing with discrepancies in incorporation documents changed? A: Regulation 15 of the 2024 regulations specifies that the registrar must communicate any discrepancies in incorporation documents to the applicant, who must rectify them within seven days. This structured process ensures quicker resolution compared to the 2017 Act.
Q: What new criteria have been introduced for the use of certain words in company names? A: The 2024 regulations provide a detailed list of prohibited words and criteria for using specific terms in company names, ensuring names do not mislead or imply unauthorized activities. This is more comprehensive than the guidelines provided in the 2017 Act.
Q: How has the procedure for appointing company secretaries been updated? A: The 2024 regulations introduce specific qualifications and documentation requirements for the appointment of company secretaries, ensuring they meet professional standards. This was less defined in the 2017 Act.
Q: What changes have been made regarding the filing of resolutions and agreements? A: The 2024 regulations require detailed filing of special resolutions and significant agreements with the registrar, including electronic filing options. This ensures better record-keeping and transparency, compared to the more general provisions of the 2017 Act.
Q: How has the treatment of defunct companies been improved? A: The 2024 regulations introduce simplified procedures for the dissolution and removal of defunct companies, making it easier to close non-operational entities. This process is more streamlined than what was provided in the 2017 Act.
Q: What new provisions have been introduced for single member companies? A: Regulation 17 of the 2024 regulations outlines specific requirements for single member companies, including documentation for the nominee and provisions for converting into a multiple-member company. These details enhance the framework set by the 2017 Act.
Q: How have the requirements for company audits changed? A: The 2024 regulations impose stricter audit requirements, including detailed auditor qualifications and reporting standards. These enhancements ensure higher compliance and financial transparency compared to the 2017 Act.
Q: What are the new requirements for maintaining statutory registers? A: The 2024 regulations mandate that companies must maintain detailed statutory registers electronically, with clear guidelines on accessibility and updating procedures. This modernizes the approach taken by the 2017 Act.
Q: How has the process for mergers and acquisitions been detailed? A: The 2024 regulations provide a comprehensive framework for mergers and acquisitions, including requirements for special resolutions, notifications to the SECP, and detailed documentation. This is a significant enhancement over the 2017 Act, which had broader provisions.
Q: What are the new obligations for directors regarding conflict of interest? A: The 2024 regulations impose strict disclosure requirements for directors concerning conflicts of interest, including mandatory reporting and penalties for non-compliance. This strengthens governance compared to the 2017 Act.
Q: How have the provisions for the issuance of shares been updated? A: The 2024 regulations introduce specific rules for the issuance of shares, including requirements for valuation, documentation, and regulatory approvals. These provisions are more detailed than those in the 2017 Act.
Q: What changes have been made to the process of voluntary winding up? A: The 2024 regulations streamline the voluntary winding-up process, including detailed steps for creditor notification, asset distribution, and final reporting to the SECP. This makes the process more efficient compared to the 2017 Act.
Q: How have the regulations addressed electronic communication and record-keeping? A: The 2024 regulations emphasize the use of electronic communication for notifications, filings, and record-keeping, providing a clear framework for digital interactions. This modernizes the approach compared to the 2017 Act.
Q: What are the new requirements for the registration of foreign loans and guarantees? A: The 2024 regulations mandate detailed reporting and registration of foreign loans and guarantees, including specific documentation and approval processes. This enhances transparency compared to the 2017 Act.
Q: How have the provisions for corporate social responsibility (CSR) been updated? A: The 2024 regulations introduce specific CSR reporting requirements, mandating companies to disclose their CSR activities and expenditures. This adds a layer of accountability not explicitly required by the 2017 Act.
Q: What changes have been made to the requirements for the annual general meeting (AGM)? A: The 2024 regulations provide detailed guidelines for conducting AGMs, including notice periods, quorum requirements, and electronic participation options. These updates ensure more structured and accessible meetings compared to the 2017 Act.
Q: How has the process for filing appeals and grievances been detailed? A: The 2024 regulations introduce a clear process for filing appeals and grievances with the SECP, including timelines, documentation requirements, and hearing procedures. This formalizes the process more than the 2017 Act.
Q: What new provisions exist for the protection of minority shareholders? A: The 2024 regulations include specific measures to protect minority shareholders, such as detailed rights to information, voting procedures, and dispute resolution mechanisms. This enhances their protection compared to the 2017 Act.
Q: How have the requirements for disclosure of related party transactions changed? A: The 2024 regulations mandate detailed disclosure of related party transactions, including specific reporting forms and approval processes to prevent conflicts of interest. This strengthens transparency over the 2017 Act.
Q: What are the new guidelines for the issuance of debentures? A: The 2024 regulations provide comprehensive guidelines for the issuance of debentures, including valuation, approval, and disclosure requirements. This ensures a more regulated process compared to the 2017 Act.
Q: How has the process for reporting changes in shareholding been updated? A: The 2024 regulations mandate immediate reporting of significant changes in shareholding to the SECP, with specific forms and timelines. This ensures timely updates compared to the 2017 Act.
Q: What new requirements exist for maintaining company websites? A: The 2024 regulations require companies to maintain updated websites with specific information such as financial reports, governance structures, and regulatory filings. This was not explicitly required in the 2017 Act.
Q: How have the provisions for employee stock option schemes (ESOS) been enhanced? A: The 2024 regulations provide detailed guidelines for the implementation of ESOS, including eligibility, valuation, and disclosure requirements. This adds structure and clarity compared to the 2017 Act.
Q: What changes have been made to the requirements for auditor independence? A: The 2024 regulations impose stricter rules on auditor independence, including specific prohibitions on non-audit services and detailed reporting requirements. This strengthens the integrity of audits compared to the 2017 Act.
Q: How has the process for capital reduction been updated? A: The 2024 regulations introduce a detailed process for capital reduction, including requirements for special resolutions, creditor notifications, and SECP approvals. This formalizes the process more than the 2017 Act.
Q: What are the new documentation requirements for the appointment of proxies? A: The 2024 regulations specify detailed documentation requirements for appointing proxies, including electronic submission options. This ensures clear and efficient proxy appointments compared to the 2017 Act.
Q: How have the provisions for financial statement audits changed? A: The 2024 regulations introduce comprehensive guidelines for financial statement audits, including auditor qualifications, reporting standards, and audit committee requirements. This enhances the quality and transparency of audits compared to the 2017 Act.
Q: What are the new regulations regarding the disclosure of director remuneration? A: The 2024 regulations mandate detailed disclosure of director remuneration, including all monetary and non-monetary benefits. This requirement is specified in Regulation 48, providing more transparency compared to the 2017 Act, which had broader guidelines on remuneration disclosure.
Q: How has the framework for the issuance of preference shares been enhanced? A: The 2024 regulations provide a structured process for issuing preference shares, including specific terms, conditions, and shareholder approvals. This enhances the procedural clarity compared to the 2017 Act, which provided less detailed guidelines.
Q: What are the new requirements for related party disclosures? A: Regulation 43 of the 2024 regulations requires companies to disclose all related party transactions in their financial statements, including the nature and amount of the transactions. This ensures greater transparency and accountability than the provisions in the 2017 Act.
Q: How has the process for striking off defunct companies changed? A: The 2024 regulations introduce a streamlined process for striking off defunct companies from the register, including simplified application and approval procedures. This is an improvement over the 2017 Act, which had more general provisions for the dissolution of companies.
Q: What new provisions have been introduced for the use of electronic records? A: The 2024 regulations mandate the use of electronic records for maintaining statutory registers and filing documents, emphasizing digital compliance and efficiency. This modernizes the approach compared to the 2017 Act, which did not explicitly focus on electronic records.
Q: How have the guidelines for company insolvency been updated? A: The 2024 regulations provide detailed procedures for company insolvency, including creditor meetings, asset valuation, and distribution plans. These updates ensure a more structured insolvency process compared to the 2017 Act.
Q: What are the new requirements for maintaining minutes of meetings? A: The 2024 regulations specify detailed requirements for recording and maintaining minutes of all board and general meetings, including electronic storage options. This enhances transparency and record-keeping compared to the 2017 Act.
Q: How have the provisions for the issuance of bonds and debentures changed? A: The 2024 regulations provide comprehensive guidelines for issuing bonds and debentures, including specific documentation, valuation, and approval processes. This ensures a more regulated issuance compared to the 2017 Act.
Q: What are the new guidelines for maintaining shareholder registers? A: Regulation 30 of the 2024 regulations mandates detailed procedures for maintaining and updating shareholder registers, including electronic records. This modernizes the approach compared to the 2017 Act, which had broader guidelines.
Q: How have the requirements for the disclosure of financial risks changed? A: The 2024 regulations require companies to disclose detailed information on financial risks, including market, credit, and liquidity risks, in their financial statements. This enhances transparency compared to the 2017 Act.
Q: What new provisions exist for the reporting of corporate governance practices? A: The 2024 regulations mandate detailed reporting of corporate governance practices, including board structure, director qualifications, and governance policies. This ensures better compliance and transparency than the 2017 Act.
Q: How has the framework for conducting shareholder meetings been updated? A: The 2024 regulations provide specific guidelines for conducting shareholder meetings, including notice periods, quorum requirements, and electronic participation options. This formalizes the process more than the 2017 Act.
Q: What changes have been made to the requirements for maintaining company accounts? A: The 2024 regulations mandate detailed accounting standards and procedures, including specific formats and disclosures for financial statements. This enhances financial transparency compared to the 2017 Act.
Q: How have the requirements for the registration of charges been enhanced? A: The 2024 regulations provide a detailed process for registering charges, including specific forms and timelines for reporting. This ensures better compliance and record-keeping compared to the 2017 Act.
Q: What are the new guidelines for the appointment and removal of directors? A: The 2024 regulations introduce specific procedures for the appointment and removal of directors, including detailed documentation and approval processes. This formalizes governance structures more than the 2017 Act.
Q: How have the provisions for the transfer of shares been updated? A: The 2024 regulations mandate detailed procedures for the transfer of shares, including electronic submission options and specific documentation requirements. This enhances the efficiency and clarity of share transfers compared to the 2017 Act.
Q: What new requirements exist for reporting significant corporate events? A: The 2024 regulations require companies to report significant corporate events, such as mergers, acquisitions, and major asset sales, in a timely manner to the SECP. This ensures greater transparency and regulatory oversight than the provisions in the 2017 Act.
Q: How has the process for issuing stock dividends been detailed? A: The 2024 regulations introduce specific guidelines for issuing stock dividends, including shareholder approvals and documentation requirements. This process is more structured compared to the 2017 Act.
Q: What are the new provisions for maintaining company seals and stamps? A: The 2024 regulations require companies to maintain detailed records of their seals and stamps, ensuring they are used appropriately and securely. This was less emphasized in the 2017 Act.
Q: How have the requirements for the disclosure of investment policies changed? A: The 2024 regulations mandate detailed disclosure of a company’s investment policies, including risk management and diversification strategies. This enhances investor transparency compared to the 2017 Act.
Q: What new guidelines have been introduced for corporate restructuring? A: The 2024 regulations provide a comprehensive framework for corporate restructuring, including requirements for special resolutions, creditor approvals, and SECP notifications. This is more detailed than the 2017 Act.
Q: How have the regulations addressed the use of digital signatures? A: The 2024 regulations explicitly allow and encourage the use of digital signatures for official documents, enhancing the efficiency and security of corporate filings. This modernizes the approach compared to the 2017 Act.
Q: What are the new requirements for disclosure of director qualifications? A: The 2024 regulations mandate detailed disclosure of the qualifications and experience of directors, ensuring they meet specific standards of competence and integrity. This was less defined in the 2017 Act.
Q: How has the process for dealing with insolvent companies been enhanced? A: The 2024 regulations provide a detailed framework for dealing with insolvent companies, including requirements for liquidation proceedings, creditor meetings, and asset distribution. This ensures a more orderly process compared to the 2017 Act.
Q: What are the new provisions for maintaining a register of loans and guarantees? A: The 2024 regulations require companies to maintain a detailed register of all loans and guarantees, including terms, conditions, and associated risks. This enhances financial transparency compared to the 2017 Act.
Q: How have the guidelines for company mergers been updated? A: The 2024 regulations provide specific procedures for company mergers, including detailed requirements for approvals, notifications, and documentation. This formalizes the process more than the 2017 Act.
Q: What new requirements exist for the maintenance of statutory books and records? A: The 2024 regulations mandate that companies maintain detailed statutory books and records electronically, ensuring they are up-to-date and accessible. This modernizes the approach compared to the 2017 Act.
Q: How have the requirements for the disclosure of significant shareholdings changed? A: The 2024 regulations require immediate disclosure of significant shareholdings, including details of beneficial ownership and control. This ensures greater transparency compared to the 2017 Act.
Q: What new provisions have been introduced for corporate governance audits? A: The 2024 regulations mandate periodic corporate governance audits, including assessments of board practices, risk management, and compliance with regulatory standards. This enhances governance oversight compared to the 2017 Act.
Q: How has the framework for maintaining corporate records been enhanced? A: The 2024 regulations provide detailed guidelines for maintaining corporate records, including specific formats, retention periods, and electronic storage options. This ensures better compliance and record-keeping than the 2017 Act.
Q: What changes have been made to the requirements for the disclosure of related party loans? A: The 2024 regulations mandate detailed disclosure of related party loans, including terms, conditions, and approval processes, to prevent conflicts of interest. This strengthens transparency compared to the 2017 Act.
Q: How have the provisions for the issuance of convertible securities been updated? A: The 2024 regulations provide a comprehensive framework for issuing convertible securities, including specific documentation, valuation, and shareholder approval requirements. This formalizes the process more than the 2017 Act.
Q: What new guidelines exist for the reporting of financial performance? A: The 2024 regulations require detailed reporting of financial performance, including quarterly and annual financial statements, to the SECP. This ensures timely and transparent reporting compared to the 2017 Act.
Q: How have the requirements for the approval of corporate policies changed? A: The 2024 regulations mandate that all significant corporate policies, including risk management, compliance, and governance policies, must be approved by the board of directors and reported to the SECP. This enhances accountability compared to the 2017 Act.
Q: What new provisions have been introduced for the maintenance of insider trading records? A: The 2024 regulations require companies to maintain detailed records of insider trading activities, including disclosures of trades by directors and key executives. This was less explicitly required in the 2017 Act.
Q: How have the guidelines for the appointment of independent directors been updated? A: The 2024 regulations provide specific criteria and documentation requirements for the appointment of independent directors, ensuring they meet standards of independence and competence. This enhances governance compared to the 2017 Act.
Q: What are the new requirements for disclosing environmental and social impact? A: The 2024 regulations mandate that companies disclose their environmental and social impact, including sustainability practices and corporate social responsibility activities. This adds a layer of transparency not explicitly required by the 2017 Act.
Q: How has the process for maintaining shareholder communications been enhanced? A: The 2024 regulations require companies to maintain detailed records of shareholder communications, including notices, resolutions, and meeting minutes, ensuring transparency and accessibility. This modernizes the approach compared to the 2017 Act.
Q: What new provisions exist for the approval and reporting of dividends? A: The 2024 regulations mandate detailed procedures for the approval and reporting of dividends, including shareholder approvals and timely disclosures. This ensures better compliance compared to the 2017 Act.
Q: How have the requirements for the audit of financial controls changed? A: The 2024 regulations require companies to conduct regular audits of their financial controls, including assessments of internal control systems and risk management practices. This enhances financial integrity compared to the 2017 Act.
Q: What new guidelines have been introduced for the disclosure of corporate ethics policies? A: The 2024 regulations mandate that companies disclose their corporate ethics policies, including codes of conduct and anti-corruption measures. This enhances transparency and accountability compared to the 2017 Act.
Q: How have the provisions for the maintenance of corporate charters and by-laws been updated? A: The 2024 regulations require companies to maintain detailed records of their corporate charters and by-laws, including any amendments and approvals, ensuring they are up-to-date and accessible. This formalizes the process more than the 2017 Act.
Q: What new requirements exist for the reporting of shareholder activism? A: The 2024 regulations mandate detailed reporting of shareholder activism activities, including disclosures of significant shareholder proposals and actions. This was not explicitly required in the 2017 Act.
Q: How has the process for conducting board evaluations been enhanced? A: The 2024 regulations provide specific guidelines for conducting board evaluations, including criteria for assessing director performance and board effectiveness. This ensures better governance oversight compared to the 2017 Act.
Q: What new provisions have been introduced for the disclosure of corporate risks? A: The 2024 regulations mandate detailed disclosure of corporate risks, including operational, financial, and strategic risks, in annual reports. This enhances transparency compared to the 2017 Act.
Q: How have the requirements for the approval of significant contracts and agreements changed? A: The 2024 regulations require that all significant contracts and agreements be approved by the board of directors and reported to the SECP, ensuring accountability and transparency. This formalizes the process more than the 2017 Act.
Q: What new guidelines exist for the maintenance of employee benefit records? A: The 2024 regulations mandate detailed record-keeping for employee benefits, including pensions, stock options, and health plans, ensuring they are managed transparently. This was less emphasized in the 2017 Act.
Q: How have the provisions for the disclosure of corporate strategy been updated? A: The 2024 regulations require companies to disclose their corporate strategy, including long-term goals and business plans, to shareholders and the SECP. This enhances transparency compared to the 2017 Act.
Q: What are the new requirements for the approval of capital expenditures? A: The 2024 regulations mandate that all significant capital expenditures be approved by the board of directors and reported to the SECP, ensuring oversight and accountability. This was less explicitly required in the 2017 Act.
Q: How has the framework for maintaining intellectual property records been enhanced? A: The 2024 regulations require companies to maintain detailed records of their intellectual property, including patents, trademarks, and copyrights, ensuring they are protected and managed transparently. This modernizes the approach compared to the 2017 Act.
Q: What new guidelines exist for the disclosure of compliance with regulatory requirements? A: The 2024 regulations mandate detailed disclosures of compliance with all applicable regulatory requirements, including industry-specific regulations. This ensures greater transparency and accountability compared to the 2017 Act.
Q: How have the requirements for the approval of executive compensation packages changed? A: The 2024 regulations require that executive compensation packages be approved by the board of directors and disclosed in detail to shareholders. This enhances governance and transparency compared to the 2017 Act.
Q: What new provisions have been introduced for the maintenance of conflict of interest records? A: The 2024 regulations mandate that companies maintain detailed records of all conflicts of interest disclosed by directors and key executives, ensuring they are managed transparently. This was less explicitly required in the 2017 Act.
Q: How have the guidelines for the appointment of audit committees been updated? A: The 2024 regulations provide specific criteria for the appointment and functioning of audit committees, including qualifications, independence, and responsibilities. This formalizes the process more than the 2017 Act.
Q: What are the new requirements for the disclosure of financial derivatives? A: The 2024 regulations mandate detailed disclosure of financial derivatives, including their valuation, risks, and impact on the company’s financial position. This ensures greater transparency compared to the 2017 Act.
Q: How has the process for filing annual returns been enhanced? A: The 2024 regulations introduce a more structured process for filing annual returns, including specific forms and electronic submission options. This ensures better compliance and efficiency compared to the 2017 Act.
Q: What new provisions exist for the disclosure of non-financial performance metrics? A: The 2024 regulations require companies to disclose non-financial performance metrics, such as environmental impact, social responsibility, and governance practices. This adds a layer of transparency not explicitly required by the 2017 Act.
Q: How have the requirements for maintaining shareholder agreements changed? A: The 2024 regulations mandate that all shareholder agreements be documented in detail and reported to the SECP, ensuring they are transparent and enforceable. This formalizes the process more than the 2017 Act.
Q: What new guidelines have been introduced for the approval of joint ventures? A: The 2024 regulations provide specific procedures for the approval and documentation of joint ventures, including board approvals and regulatory notifications. This ensures better oversight compared to the 2017 Act.
Q: How has the framework for maintaining corporate governance codes been enhanced? A: The 2024 regulations require companies to adopt and disclose corporate governance codes, detailing their governance practices and compliance with regulatory standards. This modernizes the approach compared to the 2017 Act.
Q: What are the new requirements for the disclosure of corporate philanthropy activities? A: The 2024 regulations mandate detailed disclosure of corporate philanthropy activities, including donations, sponsorships, and community engagement initiatives. This adds a layer of transparency not explicitly required by the 2017 Act.
Q: How have the provisions for the audit of internal controls changed? A: The 2024 regulations require regular audits of internal controls, including assessments of the effectiveness of control systems and risk management practices. This enhances financial integrity compared to the 2017 Act.
Q: What new provisions exist for the reporting of cybersecurity incidents? A: The 2024 regulations mandate that companies report cybersecurity incidents to the SECP, including details of the incident, impact, and mitigation measures. This was not explicitly required in the 2017 Act.
Q: How has the process for issuing rights shares been updated? A: The 2024 regulations provide a detailed framework for issuing rights shares, including documentation, valuation, and shareholder approval requirements. This formalizes the process more than the 2017 Act.
Q: What new guidelines have been introduced for the maintenance of vendor and supplier records? A: The 2024 regulations require companies to maintain detailed records of their vendors and suppliers, including contracts, performance evaluations, and compliance with ethical standards. This enhances transparency compared to the 2017 Act.
Q: How have the requirements for the approval of capital increases changed? A: The 2024 regulations mandate that all capital increases be approved by the board of directors and reported to the SECP, ensuring oversight and accountability. This was less explicitly required in the 2017 Act.
Q: What new provisions exist for the disclosure of whistleblowing policies? A: The 2024 regulations require companies to disclose their whistleblowing policies, including procedures for reporting and handling complaints, ensuring they are managed transparently. This was less emphasized in the 2017 Act.
Q: How have the guidelines for the approval of significant asset disposals been updated? A: The 2024 regulations provide specific procedures for the approval and documentation of significant asset disposals, including board approvals and regulatory notifications. This ensures better oversight compared to the 2017 Act.
Q: What are the new requirements for maintaining records of employee training and development? A: The 2024 regulations mandate detailed record-keeping for employee training and development programs, ensuring they are managed and reported transparently. This modernizes the approach compared to the 2017 Act.
Q: How have the provisions for the disclosure of litigation and legal proceedings changed? A: The 2024 regulations require companies to disclose detailed information on litigation and legal proceedings, including the nature, status, and potential impact of the cases. This enhances transparency compared to the 2017 Act.
Q: What new guidelines have been introduced for the approval of financial forecasts and projections? A: The 2024 regulations mandate that all financial forecasts and projections be approved by the board of directors and disclosed to shareholders, ensuring they are realistic and transparent. This formalizes the process more than the 2017 Act.
Q: How has the framework for maintaining environmental compliance records been enhanced? A: The 2024 regulations require companies to maintain detailed records of their environmental compliance, including audits, certifications, and mitigation measures. This modernizes the approach compared to the 2017 Act.
Q: What are the new requirements for the approval of significant financial transactions? A: The 2024 regulations mandate that all significant financial transactions be approved by the board of directors and reported to the SECP, ensuring oversight and accountability. This was less explicitly required in the 2017 Act.
Q: How have the provisions for the disclosure of market risks changed? A: The 2024 regulations require detailed disclosure of market risks, including their impact on the company’s financial performance and risk management strategies. This enhances transparency compared to the 2017 Act.
Q: What new provisions exist for the reporting of business continuity plans? A: The 2024 regulations mandate that companies report their business continuity plans to the SECP, including details on risk assessments, contingency measures, and recovery plans. This ensures preparedness and transparency not explicitly required by the 2017 Act.
Q: How has the process for maintaining records of customer complaints been updated? A: The 2024 regulations require companies to maintain detailed records of customer complaints, including resolution timelines and outcomes, ensuring they are managed transparently. This enhances customer trust compared to the 2017 Act.
Q: What are the new requirements for the approval of financial guarantees? A: The 2024 regulations mandate that all financial guarantees be approved by the board of directors and reported to the SECP, ensuring they are managed transparently and responsibly. This formalizes the process more than the 2017 Act.
Q: How have the guidelines for the disclosure of operational risks changed? A: The 2024 regulations require detailed disclosure of operational risks, including their impact on the company’s performance and mitigation strategies. This enhances transparency compared to the 2017 Act.
Q: What new provisions have been introduced for the approval of share buybacks? A: The 2024 regulations provide a detailed framework for approving share buybacks, including documentation, valuation, and shareholder approval requirements. This ensures better oversight compared to the 2017 Act.
Q: How has the process for maintaining supplier and contractor records been enhanced? A: The 2024 regulations mandate detailed record-keeping for suppliers and contractors, including contracts, performance evaluations, and compliance with ethical standards. This modernizes the approach compared to the 2017 Act.
Q: What are the new requirements for disclosing corporate social responsibility (CSR) initiatives? A: The 2024 regulations mandate detailed disclosure of CSR initiatives, including their objectives, outcomes, and expenditures, ensuring transparency and accountability. This adds a layer of transparency not explicitly required by the 2017 Act.
Q: How have the provisions for the approval of internal audits been updated? A: The 2024 regulations require that all internal audits be approved by the audit committee and reported to the board of directors, ensuring they are conducted transparently and effectively. This formalizes the process more than the 2017 Act.
Q: What new guidelines exist for the maintenance of tax records? A: The 2024 regulations mandate detailed record-keeping for all tax-related documents, including filings, assessments, and payments, ensuring they are managed transparently. This modernizes the approach compared to the 2017 Act.
Q: How have the requirements for the disclosure of contingent liabilities changed? A: The 2024 regulations require detailed disclosure of contingent liabilities, including their nature, potential impact, and probability of occurrence. This enhances transparency compared to the 2017 Act.
Q: What new provisions have been introduced for the reporting of cybersecurity policies? A: The 2024 regulations mandate that companies report their cybersecurity policies to the SECP, including measures for data protection, incident response, and risk management. This ensures better preparedness and transparency compared to the 2017 Act.
Q: How has the framework for maintaining employee compensation records been enhanced? A: The 2024 regulations require companies to maintain detailed records of employee compensation, including salaries, bonuses, and benefits, ensuring they are managed transparently. This modernizes the approach compared to the 2017 Act.
Q: What are the new requirements for the approval of external audits? A: The 2024 regulations mandate that all external audits be approved by the audit committee and reported to the board of directors, ensuring they are conducted transparently and effectively. This formalizes the process more than the 2017 Act.
Q: How have the provisions for the disclosure of investment strategies changed? A: The 2024 regulations require detailed disclosure of investment strategies, including objectives, risk assessments, and performance evaluations. This enhances transparency compared to the 2017 Act.
Q: What new guidelines have been introduced for the maintenance of marketing and advertising records? A: The 2024 regulations mandate detailed record-keeping for all marketing and advertising activities, including expenditures, campaigns, and compliance with ethical standards. This ensures transparency compared to the 2017 Act.
Q: How has the process for the approval of related party transactions been updated? A: The 2024 regulations provide a detailed framework for approving related party transactions, including documentation, valuation, and board approval requirements. This ensures better oversight compared to the 2017 Act.
Q: What new provisions exist for the disclosure of intellectual property strategies? A: The 2024 regulations mandate detailed disclosure of intellectual property strategies, including patent filings, trademark registrations, and licensing agreements. This adds a layer of transparency not explicitly required by the 2017 Act.
Q: How have the requirements for the maintenance of financial records changed? A: The 2024 regulations mandate that companies maintain detailed financial records, including ledgers, journals, and financial statements, ensuring they are managed transparently and in compliance with accounting standards. This modernizes the approach compared to the 2017 Act.
Q: What new guidelines exist for the approval of capital projects? A: The 2024 regulations provide specific procedures for approving capital projects, including feasibility studies, risk assessments, and board approvals. This ensures better oversight compared to the 2017 Act.
Q: How has the framework for maintaining corporate archives been enhanced? A: The 2024 regulations require companies to maintain detailed corporate archives, including historical records of board minutes, resolutions, and significant transactions, ensuring they are preserved and accessible. This modernizes the approach compared to the 2017 Act.
Q: What are the new requirements for the disclosure of financial instruments? A: The 2024 regulations mandate detailed disclosure of financial instruments, including their nature, valuation, and associated risks, ensuring transparency and accountability. This formalizes the process more than the 2017 Act.
Q: How have the provisions for the maintenance of risk management records changed? A: The 2024 regulations require companies to maintain detailed records of their risk management activities, including risk assessments, mitigation strategies, and compliance with regulatory standards. This enhances transparency compared to the 2017 Act.
Q: What new guidelines have been introduced for the reporting of supply chain risks? A: The 2024 regulations mandate that companies report supply chain risks to the SECP, including potential disruptions, risk assessments, and mitigation strategies. This ensures better preparedness and transparency not explicitly required by the 2017 Act.
Q: How has the process for the approval of corporate borrowings been updated? A: The 2024 regulations provide a detailed framework for approving corporate borrowings, including documentation, valuation, and board approval requirements. This ensures better oversight compared to the 2017 Act.
Q: What new provisions exist for the disclosure of strategic alliances? A: The 2024 regulations mandate detailed disclosure of strategic alliances, including objectives, terms, and performance evaluations, ensuring transparency and accountability. This adds a layer of transparency not explicitly required by the 2017 Act.
Q: How have the requirements for the maintenance of inventory records changed? A: The 2024 regulations mandate that companies maintain detailed inventory records, including stock levels, valuations, and compliance with accounting standards, ensuring they are managed transparently. This modernizes the approach compared to the 2017 Act.
Q: What new guidelines exist for the approval of corporate policies? A: The 2024 regulations mandate that all significant corporate policies, including risk management, compliance, and governance policies, must be approved by the board of directors and reported to the SECP. This ensures greater accountability compared to the 2017 Act.
Q: How has the framework for maintaining compliance with labour laws been enhanced? A: The 2024 regulations require companies to maintain detailed records of their compliance with labour laws, including employment contracts, wage records, and compliance audits. This modernizes the approach compared to the 2017 Act.
Q: What are the new requirements for the disclosure of pension and retirement plans? A: The 2024 regulations mandate detailed disclosure of pension and retirement plans, including funding status, investment strategies, and beneficiary information, ensuring transparency and accountability. This adds a layer of transparency not explicitly required by the 2017 Act.
Q: How have the provisions for the approval of external financing changed? A: The 2024 regulations mandate that all external financing arrangements be approved by the board of directors and reported to the SECP, ensuring they are managed transparently and responsibly. This formalizes the process more than the 2017 Act.
Q: What new guidelines have been introduced for the maintenance of customer records? A: The 2024 regulations require companies to maintain detailed records of customer interactions, including contracts, service agreements, and complaint resolutions, ensuring transparency and accountability. This modernizes the approach compared to the 2017 Act.
Q: How have the requirements for the disclosure of business acquisitions changed? A: The 2024 regulations mandate detailed disclosure of business acquisitions, including valuation, terms, and impact on financial performance, ensuring transparency and regulatory oversight. This enhances the process compared to the 2017 Act.
Q: What new provisions exist for the reporting of board diversity? A: The 2024 regulations mandate that companies report on the diversity of their boards, including gender, ethnicity, and professional backgrounds, ensuring they promote inclusive governance practices. This was not explicitly required in the 2017 Act.
Q: How has the process for maintaining records of legal compliance been enhanced? A: The 2024 regulations require companies to maintain detailed records of their legal compliance activities, including audits, certifications, and compliance reports, ensuring they are managed transparently. This modernizes the approach compared to the 2017 Act.
Q: What are the new requirements for the approval of shareholder resolutions? A: The 2024 regulations mandate that all shareholder resolutions be documented in detail, approved by the board, and reported to the SECP, ensuring transparency and accountability. This formalizes the process more than the 2017 Act.
Q: How have the provisions for the disclosure of contingent assets changed? A: The 2024 regulations require detailed disclosure of contingent assets, including their nature, valuation, and likelihood of realization, ensuring greater transparency compared to the 2017 Act.
Q: What new guidelines exist for the approval of share options? A: The 2024 regulations provide a comprehensive framework for approving share options, including eligibility criteria, valuation, and shareholder approvals. This ensures better oversight compared to the 2017 Act.
Q: How has the framework for maintaining compliance with environmental regulations been enhanced? A: The 2024 regulations mandate detailed record-keeping for compliance with environmental regulations, including audits, certifications, and mitigation measures, ensuring they are managed transparently. This modernizes the approach compared to the 2017 Act.
Q: What are the new requirements for the disclosure of corporate sustainability practices? A: The 2024 regulations require companies to disclose their sustainability practices, including environmental, social, and governance (ESG) initiatives, ensuring transparency and accountability. This adds a layer of transparency not explicitly required by the 2017 Act.
Q: How have the provisions for the maintenance of financial projections changed? A: The 2024 regulations mandate that all financial projections be documented, approved by the board, and disclosed to shareholders, ensuring they are realistic and transparent. This formalizes the process more than the 2017 Act.
Q: What new guidelines have been introduced for the reporting of product safety? A: The 2024 regulations require companies to report on product safety, including risk assessments, compliance with safety standards, and incident reports, ensuring they are managed transparently. This ensures better preparedness and transparency compared to the 2017 Act.
Q: How has the process for maintaining records of vendor compliance been enhanced? A: The 2024 regulations mandate detailed record-keeping for vendor compliance, including audits, certifications, and performance evaluations, ensuring they are managed transparently. This modernizes the approach compared to the 2017 Act.
Q: What are the new requirements for the approval of strategic business plans? A: The 2024 regulations mandate that all strategic business plans be documented, approved by the board, and reported to the SECP, ensuring they are realistic and transparent. This formalizes the process more than the 2017 Act.
Q: How have the provisions for the disclosure of operational efficiency metrics changed? A: The 2024 regulations require detailed disclosure of operational efficiency metrics, including performance benchmarks, improvement strategies, and impact assessments, ensuring transparency and accountability. This enhances transparency compared to the 2017 Act.
Q: What new provisions exist for the maintenance of compliance with anti-bribery and corruption laws? A: The 2024 regulations mandate that companies maintain detailed records of their compliance with anti-bribery and corruption laws, including audits, training programs, and incident reports, ensuring they are managed transparently. This was less emphasized in the 2017 Act.
Q: How has the process for the approval of dividends changed? A: The 2024 regulations mandate that all dividends be approved by the board of directors and disclosed in detail to shareholders, ensuring transparency and accountability. This formalizes the process more than the 2017 Act.
Q: What new guidelines exist for the reporting of ethical sourcing practices? A: The 2024 regulations require companies to report on their ethical sourcing practices, including supplier evaluations, compliance with labour standards, and sustainability initiatives, ensuring transparency and accountability. This adds a layer of transparency not explicitly required by the 2017 Act.
Q: How have the requirements for the maintenance of shareholder voting records changed? A: The 2024 regulations mandate that companies maintain detailed records of shareholder voting, including attendance, voting results, and proxy details, ensuring they are managed transparently. This modernizes the approach compared to the 2017 Act.
Q: What new provisions exist for the disclosure of research and development activities? A: The 2024 regulations mandate detailed disclosure of research and development activities, including expenditures, project outcomes, and impact assessments, ensuring transparency and accountability. This was less explicitly required in the 2017 Act.
Q: How has the framework for maintaining records of financial leverage been enhanced? A: The 2024 regulations require companies to maintain detailed records of their financial leverage, including debt levels, interest coverage ratios, and compliance with covenants, ensuring they are managed transparently. This modernizes the approach compared to the 2017 Act.
Q: What are the new requirements for the approval of major corporate transactions? A: The 2024 regulations mandate that all major corporate transactions, including mergers, acquisitions, and divestitures, be approved by the board of directors and reported to the SECP, ensuring they are managed transparently and responsibly. This formalizes the process more than the 2017 Act.
Q: How have the provisions for the disclosure of strategic initiatives changed? A: The 2024 regulations require detailed disclosure of strategic initiatives, including their objectives, implementation plans, and performance evaluations, ensuring transparency and accountability. This enhances transparency compared to the 2017 Act.
Q: What new guidelines exist for the maintenance of compliance with health and safety regulations? A: The 2024 regulations mandate detailed record-keeping for compliance with health and safety regulations, including audits, certifications, and incident reports, ensuring they are managed transparently. This modernizes the approach compared to the 2017 Act.
Q: How has the process for the approval of budget allocations been enhanced? A: The 2024 regulations mandate that all budget allocations be documented, approved by the board, and disclosed to shareholders, ensuring they are realistic and transparent. This formalizes the process more than the 2017 Act.
Q: What new provisions exist for the reporting of human rights practices? A: The 2024 regulations require companies to report on their human rights practices, including compliance with international standards, risk assessments, and mitigation measures, ensuring transparency and accountability. This was less emphasized in the 2017 Act.
Q: How have the requirements for maintaining records of financial compliance changed? A: The 2024 regulations mandate that companies maintain detailed records of their financial compliance activities, including audits, certifications, and compliance reports, ensuring they are managed transparently. This enhances transparency compared to the 2017 Act.
Q: What new guidelines exist for the approval of corporate restructuring plans? A: The 2024 regulations provide a detailed framework for approving corporate restructuring plans, including feasibility studies, risk assessments, and board approvals, ensuring they are managed responsibly. This formalizes the process more than the 2017 Act.
Q: How has the framework for maintaining records of employee engagement been enhanced? A: The 2024 regulations require companies to maintain detailed records of employee engagement activities, including surveys, feedback mechanisms, and improvement plans, ensuring they are managed transparently. This modernizes the approach compared to the 2017 Act.
Q: What are the new requirements for the disclosure of financial performance metrics? A: The 2024 regulations mandate detailed disclosure of financial performance metrics, including key performance indicators, benchmarks, and trend analyses, ensuring transparency and accountability. This formalizes the process more than the 2017 Act.
Q: How have the provisions for the maintenance of compliance with data protection laws changed? A: The 2024 regulations require companies to maintain detailed records of their compliance with data protection laws, including audits, certifications, and incident reports, ensuring they are managed transparently. This enhances transparency compared to the 2017 Act.
Q: What new provisions exist for the reporting of community engagement activities? A: The 2024 regulations mandate that companies report on their community engagement activities, including objectives, initiatives, and outcomes, ensuring transparency and accountability. This was not explicitly required in the 2017 Act.
Q: How has the process for the approval of financial policies been updated? A: The 2024 regulations mandate that all financial policies be documented, approved by the board, and disclosed to shareholders, ensuring they are realistic and transparent. This formalizes the process more than the 2017 Act.
Q: What new guidelines exist for the maintenance of shareholder communications? A: The 2024 regulations require companies to maintain detailed records of shareholder communications, including notices, resolutions, and meeting minutes, ensuring transparency and accessibility. This modernizes the approach compared to the 2017 Act.
Q: How have the requirements for the disclosure of investment portfolios changed? A: The 2024 regulations mandate detailed disclosure of investment portfolios, including asset allocations, performance evaluations, and risk assessments, ensuring transparency and accountability. This formalizes the process more than the 2017 Act.
Q: What new provisions exist for the approval of strategic alliances and partnerships? A: The 2024 regulations provide a comprehensive framework for approving strategic alliances and partnerships, including documentation, valuation, and board approval requirements, ensuring they are managed responsibly. This ensures better oversight compared to the 2017 Act.
Q: How has the framework for maintaining records of corporate governance practices been enhanced? A: The 2024 regulations require companies to maintain detailed records of their corporate governance practices, including board evaluations, director qualifications, and governance policies, ensuring transparency and accountability. This modernizes the approach compared to the 2017 Act.
Q: What are the new requirements for the disclosure of operational efficiency improvements? A: The 2024 regulations mandate detailed disclosure of operational efficiency improvements, including performance benchmarks, strategies, and impact assessments, ensuring transparency and accountability. This formalizes the process more than the 2017 Act.
Q: How have the provisions for the maintenance of financial planning records changed? A: The 2024 regulations mandate that companies maintain detailed records of their financial planning activities, including budgets, forecasts, and strategic plans, ensuring they are managed transparently. This enhances transparency compared to the 2017 Act.
Q: What new guidelines exist for the approval of major corporate initiatives? A: The 2024 regulations provide a detailed framework for approving major corporate initiatives, including feasibility studies, risk assessments, and board approvals, ensuring they are managed responsibly. This formalizes the process more than the 2017 Act.
Q: How has the framework for maintaining compliance with corporate governance codes been enhanced? A: The 2024 regulations require companies to adopt and disclose corporate governance codes, detailing their governance practices and compliance with regulatory standards, ensuring transparency and accountability. This modernizes the approach compared to the 2017 Act.
Q: What are the new requirements for the disclosure of financial health indicators? A: The 2024 regulations mandate detailed disclosure of financial health indicators, including liquidity ratios, solvency ratios, and profitability metrics, ensuring transparency and accountability. This formalizes the process more than the 2017 Act.
Q: How have the provisions for the maintenance of vendor performance records changed? A: The 2024 regulations mandate that companies maintain detailed records of vendor performance, including evaluations, audits, and compliance with contractual terms, ensuring transparency and accountability. This modernizes the approach compared to the 2017 Act.
Q: What new provisions exist for the reporting of employee wellness programs? A: The 2024 regulations mandate that companies report on their employee wellness programs, including objectives, initiatives, and outcomes, ensuring transparency and accountability. This adds a layer of transparency not explicitly required by the 2017 Act.
Q: How has the process for the approval of corporate social responsibility (CSR) policies been updated? A: The 2024 regulations mandate that all CSR policies be documented, approved by the board, and disclosed to shareholders, ensuring they are realistic and transparent. This formalizes the process more than the 2017 Act.
Q: What new guidelines exist for the maintenance of compliance with international standards? A: The 2024 regulations require companies to maintain detailed records of their compliance with international standards, including audits, certifications, and compliance reports, ensuring they are managed transparently. This modernizes the approach compared to the 2017 Act.
Q: How have the requirements for the disclosure of operational risks and opportunities changed? A: The 2024 regulations mandate detailed disclosure of operational risks and opportunities, including their impact on the company’s performance and mitigation strategies, ensuring transparency and accountability. This formalizes the process more than the 2017 Act.
