The ministry of corporate affairs (MCA) has started working on the second generation MCA21, which will help in the early detection of frauds committed by companies in the corporate world. Anurag Goel, secretary, ministry of corporate affairs said.
After addressing a conference on ‘Capital market regulation and corporate governance’ organised by Confederation of Indian Industry (CII), Anurag Goel said that the ministry has started working on the second generation MCA21 and the work is expected to be completed within the next two years. This will be an elaborate information system, which will maintain detailed data on fraud committing companies. The analysis of the data will help in receiving an early indication of a company committing a fraud, he said.
It may be mentioned here that MCA21 is an e-governance project, which enables electronic filing, storage, retrieval, processing, and transmission of transactions, including incorporation of a company, filing of annual and statutory returns.
Earlier, addressing the gathering at the conference, Goel said that efficient capital markets are a prerequisite for any developing economy. Indian capital markets have seen crucial reforms both, regulatory and operational, over a period of time. An important factor responsible for making Indian capital markets one of the best regulated markets is corporate governance.
Among others, M Damodaran, former chairman, Sebi, also addressed the gathering.