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MCA amends NCLT rules, prescribes criteria to determine requisite number of members to file class action suit

May 9, 2019
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MCA has amended the NCLT rules whereby criteria to determine requisite number of members to file a class action suit has been provided. Under the norms, in case of Co. having share capital, at least 5 % of total members of Co. or 100 members whichever is less is requisite number to file class action suit. In case of an unlisted-Co., member(s) having shareholding of not less than 5%. In case of listed Co., member(s) holding not less than 2% of shareholding shall be the requisite number.
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