UNDERSTANDING RELATED PARTY TRANSACTIONS UNDER COMPANIES ACT
“Law cannot stand still, it must change with the changing social concepts and values.” - Yeshwant Vishnu Chandrachud, Former Chief Justice of India INTRODUCTION Law is promulgated to serve as a yardstick, govern the balance of power and responsibility, address the needs and to augment the vision of the investors with the principles and activities of a company. The Supreme Court of India in the case of “Chiranjit Lal Chowdhuri vs. Union of India & Ors. (1950)” remarked that “It must be presumed that a legislation understands and correctly appreciates the need of its own people, that its laws are directed to the problems that are manifested by experience.” While the law shields the owners whose wealth is used in the process of business, the accountability and transparency from the management has always been lens. The inherent value of any company lies in the best of t...