In order to check the misuse of funds raised by companies via public offerings, the government has directed the Registrar of Companies (RoCs) to look for diversion of IPO funds while inspecting their annual accounts.
In a directive to RoCs and Regional Directors, the Corporate Affairs Ministry has asked them last week to check for fund diversions by companies from the objectives stated in the prospectus and related party transactions, and carry out inspections soon after the filing of annual accounts.Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
