Gazette Notification – Ministry of Corporate Affairs (http://egazette.nic.in)
The Govt. of India has amended the Companies (Accounts) Rules 2014. The amended Rules have been notified in Govt. of India Gazette dated 31.7.2018. Rule 8 of the Companies (Accounts) Rules, 2014 contains the matters to be included in the Board’s Report. The amendment mandates that the Board Report shall contain a statement as to compliance with the provisions of the Sexual Harassment of Women at Workplace Act (Prevention, Prohibition and Redressal), Act, 2013 as related to the constitution of Internal Complaints Committee – ICC (now termed “Internal Committee” –IC). Therefore, all companies must place emphasis on the correct implementation of the Act and full compliance thereof. This amendment does not apply to a one-person company or small company.
Under the Sexual Harassment of Women at Workplace Act (Prevention, Prohibition and Redressal), 2013, it is mandatory for any organization with 10 or more employees to constitute an Internal Committee (IC). The IC should consist of a presiding officer who is a woman employee at a senior level in the same organization, at least two other employees “preferably committed to the cause of women”, and a member from an NGO or a person “familiar with issues relating to sexual harassment.” Failure to comply with this provision could attract a penalty of up to ₹ 50,000.