Sunday, July 27, 2025

MSMED Act, 2006 : Some Important Legal Aspects

MSMED Act, 2006 : Some Important Legal Aspects 

The law which was repealed by MSMED Act, 2006 is "Interest on Delayed Payments to Small Scale and Ancillary Industrial Undertakings Act, 1993" through S.32 of MSMED Act, 2006.

Advisory Committee is formed under S.7.

National Board has 47 members.

Classification is done under S.7 into ; micro / small / medium.  Cost of pollution control can be excluded. 

Advisory Committee is formed under S.7 (2) ; it can have 6 members but can have not more than 12 members. AC can consider level of employment also. 

S.8 talks about filing memorandum. 

S.10 deals with credit facilities.

S.15 is the liability of buyer.

S.16 is about the interest rate. S.24 gives overriding effect to the MSMED Act, 2006. 

S.27 provides for fines and S.28 provides jurisdiction to Courts. 

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