What does SICA mean in LAW & LEGAL
The Sick Industrial Companies Act of 1985, commonly known as SICA, is a special piece of legislation that was passed by the Indian government to prevent the systemic collapse of certain industries in India. The SICA act provides companies with several options to restructure their finances and help them stay in operation.
SICA meaning in Law & Legal in Governmental
SICA mostly used in an acronym Law & Legal in Category Governmental that means Sick Industrial Companies Act of 1985
Shorthand: SICA,
Full Form: Sick Industrial Companies Act of 1985
For more information of "Sick Industrial Companies Act of 1985", see the section below.
Essential Questions and Answers on Sick Industrial Companies Act of 1985 in "GOVERNMENTAL»LAW"
What is the purpose of SICA?
The purpose of SICA is to provide protection to certain industries in India from financial distress and provide them with restructuring options so that they may remain solvent.
Who enforces the SICA act?
The Board for Industrial Financial Reconstruction (BIFR) is responsible for enforcing the SICA act.
Who can initiate proceedings under this act?
Proceedings under this act can be initiated by either the company itself or any creditors or employees who are affected by it.
What options are provided to businesses under the SICA Act?
Businesses under the SICA Act are given several options such as rehabilitation, merger, amalgamation, liquidation and transfer of assets. These options allow them to restructure their finances and remain in operation.
Are there any penalties for not complying with provisions under this act?
Yes, companies that do not comply with provisions laid out under this act may be subject to penalties or suspension of operations depending on severity of non-compliance.
Final Words:
The Sick Industrial Companies Act of 1985 (SICA) provides businesses in India with numerous financial restructuring options that can help them avoid insolvency and continue operations. Any companies who wish to make use of these provisions should consult with a qualified legal advisor for additional information on compliance requirements and other matters related to this important piece of legislation.