The answer to the clause (xv) of CARO states, whether the company has complied with sec 192 shall be reported only when the answer to the first part is affirmative. What needs to be reported if the company does not comply with sec 192?

1 answer

Ravi Staff March 14, 2018

Clause 15
Whether the company has entered into any noncash transactions with directors or persons connected
with him and if so, whether the provisions of section 192 of Companies Act, 2013 have been complied with.

Suggested paragraph on reporting:

According to the information and explanations given to us, the Company has entered into non-cash transactions with one of the directors/ person connected with the director during the year, by the acquisition of assets by assuming directly related liabilities, which in our opinion is covered under the provisions of Section 192 of the Act, and for which approval has not yet been obtained in a general meeting of the Company.

So we have to simply report, whether resolution is passed or not, no other information is required.

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