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POLICY OF RELATED PARTY TRANSACTIONS PREAMBLE The Companies Act, 2013 aims at enhancing Corporate Governance by clearly define the duties of directors and fixing additional responsibilities and defining
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How to fill out policy of related party

01
Start by identifying the related parties involved in the policy.
02
Clearly define the purpose and objectives of the policy. This will help determine the scope and coverage of the policy.
03
Specify the criteria for determining related parties. This may include criteria such as ownership, control, management relationships, etc.
04
Provide guidelines on the disclosure of related party transactions and the reporting requirements for such transactions.
05
Outline the procedures and approval process for entering into transactions with related parties.
06
Include measures to ensure transparency and prevent conflicts of interest in dealing with related parties.
07
Clearly document the responsibilities and roles of individuals involved in the implementation and enforcement of the policy.
08
Regularly review and update the policy to align with any changes in related party relationships or regulatory requirements.
09
Communicate the policy to all relevant stakeholders and provide training if necessary.
10
Monitor and enforce compliance with the policy, and address any violations or non-compliance promptly.

Who needs policy of related party?

01
Policy of related party is needed by organizations or businesses that have significant relationships with other entities, such as subsidiaries, joint ventures, major shareholders, or directors.
02
It is particularly important for publicly traded companies to have a policy of related party to ensure transparency and to comply with regulatory requirements.
03
Financial institutions, government entities, and non-profit organizations may also require a policy of related party to manage potential conflicts of interest and maintain accountability.
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Policy of related party refers to a document outlining transactions and relationships between a company and its related parties.
Companies, particularly publicly traded ones, are required to file policy of related party.
Policy of related party should be filled out by providing detailed information on related party transactions, relationships, and any potential conflicts of interest.
The purpose of policy of related party is to ensure transparency and prevent any potential conflicts of interest that may arise from transactions with related parties.
Information such as details of related party transactions, relationships, and measures taken to prevent conflicts of interest must be reported on policy of related party.
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