The Union Government on Thursday stated that it has not found any violation of the Companies Act, 1956 by the Deccan Chargers, an Indian Premier League franchise.
In a written reply to a question, Union Minister for Corporate Affairs Salman Khurshid stated that the Central Government is looking into violation of the Companies Act, 1956 by some Indian Premier League (IPL) franchises.
Mr Khurshid stated that no violation of provisions of the Act have been found in the Balance Sheets, Annual Returns and other documents of Deccan Chargers Sporting Venture Limited.
He stated that the documents of the IPL franchises have been examined under Section 234 of the Act.
Documents relating to the Mumbai Indians owned by Indiawin Sports Pvt Ltd, Royal Challenger Bangalore owned by Royal Challenger Sports Pvt Ltd, Deccan Chargers owned by Deccan Chargers Sporting Ventures Ltd, Chennai Super Kings owned by India Cements Ltd, Delhi Daredevils owned by owned by GMR Sports Pvt Ltd,Kings XI Punjab KPH Dream Cricket Pvt Ltd, Kolkata Knight Riders owned by Knight Riders Sports Pvt Ltd, Rajasthan Royals owned by Jaipur IPL Cricket Pvt Ltd, apart from new entrants Sahara Pune Warriors owned by Sahara Adventure Sports Ltd and Kochi owned by Rendezvous Sports World have been examined. Of these Rendezvous Sports World is an Association of persons not registered under the Act.
Mr Khurshid informed the House that based on the Technical Scrutiny Reports submitted by Registrar of Companies (ROCs) under Section 234 of the Act, non-compliance of certain provisions of the Act relating to non-filing of balance sheet/annual return (Sections 159/220), non-appointment of whole time company secretary (Section 383A), non-compliance of Section 211 read with Schedule VI and Accounting Standards have been noticed and ROCs have been instructed to take penal action in respect of these contraventions.