Lok Sabha Question No. 320 (UNSTARRED), answered on 2026-02-02
Subject: Inefficiencies in Regulatory Compliance Filing
Ministry: CORPORATE AFFAIRS
Asked by: Md Abu Taher Khan

## GOVERNMENT OF INDIA

## MINISTRY OF CORPORATE AFFAIRS

## LOK SABHA UNSTARRED QUESTION NO. 320 ANSWERED ON MONDAY, 02 ND  FEBRUARY 2026 MAGHA 13, 1947 (SAKA)

## INEFFICIENCIES IN REGULATORY COMPLIANCE FILING

320. Md Abu Taher Khan

Will the Minister of Corporate Affairs be pleased to state:

- (a) whether  the  Government  has  received  complaints  or  reports regarding  delays  and  inefficiencies  in  the  processing  of  statutory forms, filing approvals and other regulatory compliances under the Companies Act;
- (b) if so, the details of such cases received during the last three years,  including  the  nature  of  delays  and  average  processing timelines;
- (c) whether  the  Government  has  taken  measures  to  fast-track merger approvals, corporate restructuring applications and related filings to reduce procedural bottlenecks and enhance ease of doing business; and
- (d) if so, the details of reforms or digital initiatives implemented by the Government to expedite these processes?

## ANSWER

MINISTER OF STATE IN THE MINISTRY OF CORPORATE AFFAIRS AND MINISTER  OF  STATE  IN  THE  MINISTRY  OF  ROAD  TRASPORT  AND HIGHWAYS

[SHRI HARSH MALHOTRA]

(a)&(b)  At  present,  processing  of  e-forms  for  compliance  filing  by companies  are  done  through  Straight Through  Process  (STP), conditional STP and non-STP mode.  The e-forms processed in STP mode are taken on record as soon as the filing is completed. Non-STP Processing of e-forms are carried out as per  the provisions of the Companies Act and Rules made thereunder. A streamlined process of raising queries, grievances through an online ticketing mechanism and  call centre is in place. These tickets are resolved keeping in mind the provisions of the Companies  Act and Rules  made thereunder. Timely and qualitative resolution of tickets is monitored regularly  and  corrective  steps  are  taken  whenever  required.  The details of tickets received and resolved are as under :

|                                     |   Approval related tickets |   Technical issue related tickets |   Total |
|-------------------------------------|----------------------------|-----------------------------------|---------|
| 18 th Sep 2022 to 31 st March, 2023 |                      13252 |                            389692 |  402944 |
| 1 st Apr 2023 to 31 st March, 2024  |                      38514 |                            602032 |  640546 |
| 1 st Apr 2024 to 31 st March 2025   |                      92644 |                            460272 |  552916 |

- (c) & (d) The initiatives implemented by the Government for fast-track merger approvals, corporate restructuring applications and related filings  to reduce bottlenecks and enhance ease of doing business are  as follows :-
- (i) The fast-track process for mergers has been extended under the Companies Act, 2013 to also include mergers of Startups with other  Startups  and  with  Small  companies,  so  that  the  process  of mergers & amalgamations is completed faster for such companies. Scope of Fast-track merger has also been enhanced in September 2025 to allow more number of companies to use such speedier and user-friendly framework.
- (ii) The Companies (Compromises, Arrangements and Amalgamations)  Rules,  2016  were  amended  in  2023  pursuant  to which "deemed approval" requirements provided under section 233 are  implemented  more  effectively.  The  amendment,  inter  alia, provided  that,  in  case  a  Regional  Director  (RD)  does  not  file  an application before NCLT for considering the scheme of merger under section  232  or  does  not  issue  confirmation  order  for  approval  of merger u/s 233 within the time limit provided (i.e. 60 days), it shall be deemed that RD has no objection and the confirmation order shall be issued accordingly.
- (iii) Amendment  has  been  made  in  rule  25A  of  the  Companies (Compromises,  Arrangements  and  Amalgamations)  Rules, 2016 amended in 2024. Pursuant to this amendment, merger of a holding company  incorporated  abroad  with  its  wholly  owned  subsidiary incorporated in India would require approval of Central Government (delegated  to  Regional  Directors).  Prior  to  this  amendment,  such mergers required approval of the NCLT.

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