Experts Urge Reform of Outdated Companies Act 1994
Speakers at a workshop here today called for updating and modernizing in the country Companies Act 1994. They made the call at the workshop on 'Importance of Board Meeting, AGM, EGM and Compliance of Limited Companies' organized by Dhaka Chamber of Commerce & Industry (DCCI) at its auditorium in the capital today. Registrar (Additional Secretary) of Joint Stock Companies and Firms (RJSC) AKM Nurunnabi Kabir spoke on the occasion as the chief guest, said a DCCI press release. AKM Nurunnabi Kabir said that at present, about 2.75 lakh business enterprises of Bangladesh are registered with the RJSC and almost all the processes of company registration are now available online except the share transfer system. But soon, the RJSC has a plan to incorporate this service into online after necessary security observations, he added.
To run a business, Kabir suggested complying with all rules and regulations to avoid unexpected incident. He also suggested the business owners to train their professionals regarding different procedures of Companies Act, Articles of Association, Securities Law, and other related laws. DCCI President Taskeen Ahmed in his opening remarks said the importance of institutional transparency, accountability and good governance in the management of limited companies is increasing with the economic progress of Bangladesh and the development of the industrial sector. He also pointed out that in many cases many entrepreneurs or company professionals get confused due to lack of clear understanding of the complexities of company law, constitution or compliance issues. The DCCI president said that the workshop provided a detailed understanding of the importance of board meetings, annual general meetings, extraordinary general meetings, procedures for timely and proper completion of meetings, strategies for maintaining necessary compliance under the Companies Act, and maintaining good relations with the regulatory bodies.
Mohammed Sanaullah, CEO & Lead Consultant of Sanaullah & Associates and Partner of Artisan, Chartered Accountant, Md. Selim Reza, presented two separate keynote papers. They said either the company is public limited or private limited or proprietorship, every category of businesses should be compliant with laws and regulations. They also said that the economy of Bangladesh is expanding day by day with the help of businessmen. In this era of globalization, to compete in the international market, maintaining compliance in business is a must now, they added. They also said that complying with rules will help to stop all malpractices and misuse. They also said that the Companies Act of Bangladesh should be reformed. DCCI Senior Vice President Razeev H Chowdhury and Vice President Md. Salem Sulaiman were also present at the workshop.
