News & Media 17th May 2023

MCA implements deemed approval concept to address bureaucratic delays in fast track scheme

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The Centre has streamlined the merger approval process for start-ups under the ‘fast track merger’ scheme introduced in 2016, now binding the Ministry of Corporate Affairs (MCA) to time-bound decision making on merger proposals filed under the scheme.

Through the amendment to the corporate (compromises, arrangements, and amalgamations), MCA has introduced the concept of ‘deemed approval‘ to address the issue of bureaucratic delays in corporate restructuring, especially the ‘fast track scheme’.

Against this backdrop, Yashojit Mitra, Partner, Economic Laws Practice (ELP) has been quoted in an article, Centre  puts start-ups merger approval process on fastrack published by The Hindu businessline.

The article can be read here:  Click here

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