Lok Sabha Question No. 5017 (UNSTARRED), answered on 2026-03-23
Subject: Companies in Ujjain
Ministry: CORPORATE AFFAIRS
Asked by: Shri Anil Firojiya

## GOVERNMENT OF INDIA MINISTRY OF CORPORATE AFFAIRS LOK SABHA

UNSTARRED QUESTION NO. 5017

ANSWERED ON MONDAY, 23 RD  MARCH 2026

CHAITRA 02, 1948 (SAKA)

## COMPANIES IN UJJAIN

## QUESTION

5017. SHRI ANIL FIROJIYA:

WILL THE MINISTER OF CORPORATE AFFAIRS BE PLEASED TO STATE:

- (a)  the  number  of  Companies/Limited  Liability  Partnerships  (LLPs) registered  in  the  Ujjain-Alot  Parliamentary  Constituency  during  the last  five  years  alongwith  the  number  of  them  currently  active  at present;
- (b) the amount of funds spent by these Companies under Corporate Social Responsibility (CSR) in the Ujjain-Alot area during the last three years alongwith the details of development works/activities on which such funds have been utilized;
- (c)  the  schemes being implemented by the Government to promote Start-ups and new Companies in the Ujjain-Alot region alongwith the number of entrepreneurs who have benefited therefrom so far; and
- (d) whether the Government has noticed that the number of projects being  taken  up  by  these  Companies  in  education,  health,  skill development and environmental protection sectors in the Ujjain-Alot region is very low and if so, the steps being taken by the Government to increase such numbers?

## ANSWER

MINISTER  OF  STATE  IN  THE  MINISTRY  OF  CORPORATE  AFFAIRS; MINISTER OF STATE IN THE MINISTRY OF ROAD TRANSPORT AND HIGHWAYS

## (SHRI HARSH MALHOTRA)

- (a)  & ( b) Data with regard to Companies/ Limited Liability Partnerships  (LLPs)  registered  and  CSR  is  maintained  district-wise and not Parliamentary Constituency-wise. The number of Companies registered and active in the Ujjain District during the last five years (upto 28.2.2026) are 735 and 724 respectively. The number of LLPs registered and active in the Ujjain District during the last five years (upto 28.2.2026) are 197 & 196 respectively.

On the basis of annual filings made by CSR mandated companies in the MCA21 registry, Development sector-wise CSR expenditure in Ujjain district from FY 2021-22 to FY 2023-24 is at Annexure-A. Further,

State-wise, District-wise and  year-to-year  company-wise  data  is available in public domain at www.csr.gov.in.

(c) The Ministry of Corporate Affairs has been taking several steps to bring about ease of doing business to promote companies and start ups  which  inter-alia  includes  setting  up  of  the  Central  Registration Centre (CRC), Central Processing Centre (CPC), Expanding framework for  fast  track  merger,  decriminalization  of  technical  and  procedural violations etc.  An e-Form SPICe+ along with a linked form called AGILE PRO-S  was  introduced  for  providing  different  services  at  one  place such as Name Reservation, Incorporation, Allotment of PAN, TAN, DIN, EPFO Registration, ESIC Registration, GST number, opening of Bank Account  etc.  at  the  time  of  incorporation  of  company  to  start  the business immediately. Similarly, new e-Form FiLLiP (Form for incorporation  of  Limited  Liability  Partnership)  was  introduced  for LLPs.

Details of provisions of the Companies Act, 2013 to promote Start-ups is at Annexure-B. These measures benefit start-ups across the country including those in Ujjain district. (d)      The  legal  framework  for  Corporate  Social  Responsibility  (CSR) consists  of  Section  135  of  the  Companies  Act,  2013,  along  with Schedule VII of the Act and the Companies (CSR Policy) Rules, 2014. According to the legal framework, CSR is a board-driven process and the Board of the company is empowered to plan, decide, execute and monitor the CSR activities based on the recommendation of the CSR Committee of the concerned corporate entity. The Government does not issue any directions to Corporates to spend

in any particular geographic area or on any specific activity.

*****

## Annexure-A In reply to Part (b) of Parliament question No. 5017 for 23.03.2026. Development works / activity-wise CSR expenditure in Ujjain district from FY 2021-22 to FY 2023-24

(Amount in Rs. Crores)

| Sl. No.   | Development Sector                        |   FY 2021-22 |   FY 2022-23 |   FY 2023-24 |
|-----------|-------------------------------------------|--------------|--------------|--------------|
| 1.        | Animal welfare                            |         0    |         0.06 |         0.25 |
| 2.        | Art and culture                           |         0.06 |         0.24 |         0.44 |
| 3.        | Conservation of natural resources         |         0.13 |         0    |         0    |
| 4.        | Education                                 |         4.41 |         8.23 |         3.15 |
| 5.        | Environmental sustainability              |         1.24 |         2.34 |         3.12 |
| 6.        | Gender equality                           |         0.12 |         0.44 |         0.51 |
| 7.        | Health care                               |         2.92 |         7.51 |         2.87 |
| 8.        | Livelihood enhancement projects           |         0    |         0.01 |         0.42 |
| 9.        | Poverty, Eradicating Hunger, Malnutrition |         1.69 |         4.75 |         9.67 |
| 10.       | Rural development projects                |         2.07 |         3.85 |         1.49 |
| 11.       | Safe drinking water                       |         0    |         0.11 |         0.42 |
| 12.       | Sanitation                                |         1.95 |         0.18 |         0    |
| 13.       | Senior Citizens Welfare                   |         0.7  |         0.07 |         0.05 |
| 14.       | Setting up homes and hostels for women    |         0    |         0    |         0.24 |
| 15.       | Setting up orphanage                      |         0    |         0    |         0    |
| 16.       | Slum area development                     |         0    |         0    |         0.03 |
| 17.       | Socio-economic equalities                 |         0    |         0.29 |         0.35 |
| 18.       | Special education                         |         0    |         0    |         0.29 |
| 19.       | Training to promote sports                |         0.05 |         0.05 |         0    |
| 20.       | Vocational skills                         |         0    |         0.91 |         0.96 |
| 21.       | Women empowerment                         |         0    |         0.15 |         0.17 |
|           | Total                                     |        15.34 |        29.19 |        24.43 |

*****

## Annexure-B

## In reply to Part (c) of Parliament question No. 5017 for 23.03.2026.

|   Sr. No. | Section/Rules of Companies Act, 2013                                 | Subject                                              | Provisions in the Company Act, 2013 to support Start- ups                                                                                                                                                                                                                                                                   |
|-----------|----------------------------------------------------------------------|------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|         1 | Section 2(40)                                                        | Financial Statement                                  | Requirement of cash flow statement to be part of financial statement is optional for Start-ups.                                                                                                                                                                                                                             |
|         2 | Section 73(2) clause (a) to (e)                                      | Acceptanc e of deposits                              | Start-ups were exempted from procedural compliance at the time of accepting deposits from its members (such as issuance of a circular to its members showing the financial position of company, credit rating, depositing 20% of the maturing deposits, and certification regarding default in repayments).                 |
|         3 | Section 92(1)                                                        | Annual Return                                        | Directors of a start-up are allowed to sign annual returns of the private limited company if the Company does not have Company Secretary.                                                                                                                                                                                   |
|         4 | Section 173(5)                                                       | Meetings of Board                                    | Under Companies Act, 2013, Board of Directors of a company are required to meet at least once in 120 days, 4 board meetings in a year. However, Start-ups are exempted from holding quarterly board meetings and are allowed to hold two board meetings in a calendar year, i.e., once every six months.                    |
|         5 | Rule 6 of Companies (Incorporation) Rules, 2014                      | Conversion of OPCs into Public and Private Companies | The requirement that an OPC must convert itself after its paid-up capital exceeds Rs 50 lakh and its average annual turnover exceeds Rs 2 crore was omitted. Since many start-ups are One Person Company, this allows them to retain the status as an OPC.                                                                  |
|         6 | Rule 8(4) of Companies (Share Capital and Debenture) Rules, 2014)    | Sweat Equity                                         | In general, the issuance of sweat equity shares in a company shall not exceed 25%of the paid-up capital of the company at any time. However, in case of start-ups, this limit is upto 50% of its paid-up share capital.                                                                                                     |
|         7 | Rule12(1)(c) of Companies (Share Capital and Debentures) Rules, 2014 | Employee Stock Options (ESOPs)                       | In general, ESOPs are not given to employee who is a promoter or a person belonging to the promoter group and a director who either himself or through his relative or a body corporate, directly or indirectly holds more than 10% equity of the company. Start-ups are allowed to issue ESOPs to promoters and directors. |
|         8 | Rule 2 (1)(c) (xvii) Companies (Acceptance of Deposits) Rules, 2014  | Convertible Note                                     | Start-ups can receive an amount of Rs 25 lakh or more by way of a convertible note (convertible into equity shares or repayable within a period not exceeding ten years from the date of issue) in a single tranche, from a person, and such transactions are not considered deposit.                                       |
|         9 | Rule 3(3) of Companies (Acceptance of Deposits) Rules, 2014          | Acceptanc e of deposits                              | Companies may ordinarily accept or renew any deposits from its members not exceeding 35% of the paid-up share capital, free reserves and securities premium account of the company. But start-ups have been permitted to accept deposits from members without any restriction on the amount.                                |

*****