Handbook for Independent Director's Examination

Contents at glance:

Volume I

Chapter - 1.1 — Incorporation of Companies (Sections 3 to 22) and the
Companies (Incorporation) Rules, 2014.................................................1
Chapter - 1.2 — Prospectus and Allotment of Shares (Sections 23 to 42) and the
Companies (Prospectus and Allotment of Securities) Rules, 2014...91
Chapter - 1.3 — Share Capital (Sections 43 to 70) and the Companies
(Share Capital and Debentures) Rules, 2014 .....................................136
Chapter - 1.4 — Debentures and Bonds (Sections 71 and 72) and the Companies
(Share Capital and Debentures) Rules, 2014 .....................................208
Chapter - 1.5 — Acceptance of Deposits (Sections 73 to 76A)
and the Companies (Acceptance of Deposits) Rules, 2014..............225
Chapter - 1.6 — Registration of Charges (Sections 77 to 87) and the Companies
(Registration of Charges) Rules, 2014.................................................254
Chapter - 1.7 — Register of Members, Declaration of Beneficial Interest,
Annual Return, etc. (Sections 88 to 95) and the Companies
(Management and Administration) Rules, 2014 ...............................270
Chapter - 1.8 — General Meetings (Sections 96 to 121) and the Companies
(Management and Administration) Rules, 2014 ...............................321
Chapter - 1.9 — Declaration and Payment of Dividend (Sections 123 to 127)
and the Investor Education and Protection Fund Authority
(Accounting, Audit, Transfer and Refund) Rules, 2016 ...................359
Chapter - 1.10 — Accounts of Companies (Sections 128 to 134, 136 and 137)
and the Companies (Accounts) Rules, 2014....................................391
Chapter - 1.11 — Board Evaluation ................................................................................444
Chapter - 1.12 — Internal Audit (Section 138) and the Companies (Accounts)Rules, 2014 .......472
Chapter - 1.13 — Audit and Auditors (Sections 139 to 148) and the Companies (Audit and Auditors)

Rules, 2014 ................................485
Chapter - 1.14 — Institution of Directors (Appointment and Qualification
of Directors) (Sections 149 to 165, 167 to 172) and the Companies
(Appointment and Qualification of Directors) Rules, 2014 ..........523
Chapter - 1.15 — Duties of Directors (Section 166).......................................................576
Chapter - 1.16 — Meetings of the Board and its powers (Sections 173 to 176,
179 to 187 & 189 to 195) and the Companies (Meetings of Board
and its Powers) Rules, 2014 ...............................................................579
Chapter - 1.17 — Meetings of Board Committees- Mandatory Board Committees
(Sections 177 & 178) and the Companies (Meetings of Board
and its Powers) Rules, 2014 ...............................................................623
Chapter - 1.18 — Governance of Committees ...............................................................633
Chapter - 1.19 — Liability of Directors and KMP (Sections 196 to 203) ....................640
Chapter - 1.20 — Safeguarding Directors.......................................................................667
Chapter - 1.21 — Secretarial Audit and Compliances (Section 204) and the
Companies (Appointment and Remuneration of Managerial
Personnel) Rules, 2014........................................................................674
Chapter - 1.22 — Compromises, Arrangements and Amalgamations
(Sections 230 to 240) and the Companies (Compromises,
Arrangements and Amalgamations) Rules, 2016...........................680
Chapter - 1.23 — Prevention of Oppression and Mismanagement
(Sections 241 to 246)............................................................................722
Chapter - 1.24 — Penalties and Compounding of Offences (Sections 439 to 454)
and the Companies (Adjudication of Penalties) Rules, 2014........733
Chapter - 1.25 — Related Party Transactions (Sections 2(76), 177(4) and 188)
and the Companies (Meetings of Board and its Powers) Rules,2014 ........751
Chapter - 1.26 — Corporate Social Responsibility (Section 135) and the Companies (Corporate Social Responsibility) Rules, 2014 ...........766
Chapter - 1.27 — Managing CSR and Engaging Stakeholders ...................................786
Chapter - 2.1 — Secretarial Standard on Meetings of Board of Directors (SS-1)......797
Chapter - 2.2 — Secretarial Standard on General Meetings (SS-2).............................847

Volume II

Chapter - 3.1 — Securities and Exchange Board of India Act, 1992 ...........................907
Chapter - 3.2 — SEBI (LODR) Regulations, 2015 ..........................................................957
Chapter - 3.3 — SEBI (Issue of Capital and Disclosure Requirements)Regulations, 2018........1155
Chapter - 3.4 — Securities Contracts (Regulation) Act, 1956 ....................................1181
Chapter - 3.5 — Depositories Act, 1996 ........................................................................1234
Chapter - 4 — Independent Director (Section 149) and the Companies
(Appointment and Qualification of Directors) Rules 2014............1263
Chapter - 5.1 — Corporate Governance .......................................................................1308
Chapter - 5.2 — Governance and Strategy...................................................................1421
Chapter - 5.3 — Corporate Policies and Disclosures under Companies
Act, 2013 and various SEBI Regulations ..........................................1437
Chapter - 5.4 — Board Effectiveness and Culture.......................................................1496
Chapter - 5.5 — Training of Directors ..........................................................................1523
Chapter - 5.6 — Exemplary Board.................................................................................1530
Chapter - 5.7 — Building a Resilient Company- Board’s Role..................................1536
Chapter - 6.1 — Accounting Standards and the Companies
(Indian Accounting Standards) Rules, 2015 ....................................1553
Chapter - 6.2 — Understanding the Balance Sheet and Profit and
Loss Account ........................................................................................1565
Chapter - 6.3 — Understanding the Cash Flow Statement........................................1677
Chapter - 6.4 — Understanding Board’s Report and the Companies
(Accounts) Rules, 2014........................................................................1696
Chapter - 6.5 — Understanding Auditor’s Report (CARO).......................................1714
Chapter - 6.6 — Managing through Financial Ratios.................................................1724
Chapter - 7.1 — WorldCom Inc: A Case Study on Modus Operandi of Fraud......1735
Chapter - 7.2 — Enron Corporation: A Journey from Peak to Bottom.....................1748
Chapter - 7.3 — Volkswagen1: A Story of Device Fixing to Defeat Emission
Test Check.............................................................................................1756
Chapter - 7.4 — Olympus Corporation: Not Just an Accounting Scandal,
but A Mindset for Unethical Behaviour...........................................1769
Chapter - 7.5 —Hydro One: Implementation of Enterprise Risk Management.....1788
Chapter - 7.6 — Satyam Computer1: From Best Governance to
Bad Governance...................................................................................1802
Chapter - 7.7 — Maruti Suzuki (I) Ltd. v. Suzuki Motor Gujarat Private
Limited: A Deal of Related Party Transaction.................................1814
Chapter - 7.8 — What went wrong in Punjab & Maharashtra Co-operativeBank Ltd............1824
Chapter - 7.9 — Corporate Governance Failure: Yes Bank .....................................1833
Chapter - 7.10 — Story of Ups-Down-Up: Alok Industries Ltd................................1842
Chapter - 7.11 — Downfall of Real Estate Empire: Amrapali ...................................1850
Chapter - 7.12 — Financial Crisis in IL&FS ................................................................1859
Chapter - 7.13 — Bhushan Power & Steel ....................................................................1867
Chapter - 7.14 — Essar Steel...........................................................................................1874