Economic Development today is largely dependent upon the legal landscape of the country: Akshat Khetan

 Economic Development today is largely dependent upon the legal landscape of the country:    Akshat Khetan 

 Pune, March 4, 2024 :  AU Corporate Advisory and Legal Services (AUCL) is a leading, Mumbai – based provider of corporate strategies, financial advisory, debt syndication and litigation services.

AUCL assists its clients in navigating complex challenges by providing practical and innovative solutions, making it a trusted partner for corporations seeking comprehensive support.

AUCL, holistic approach employs a 360-degree thought process, allowing the sought after legal firm to gain profound insights into diverse challenges.  AUCL, firmly believes that every challenge can be approached from multiple perspectives and requires tailored strategies. Adhering to the operational tenet of value creation, AUCL has facilitated successful turnarounds for numerous clients.

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AUCL stands out in the industry through its unique service offerings, including regulatory compliances, policy development and implementation, corporate governance, intellectual property rights registration, protection and enforcement, as well as matters related to share capital and other distributions.

 Speaking on the occasion, Akshat Khetan, Founder of AU Corporate and Legal Advisory Services Limited (AUCL), advocates vast changes in the industry, emphasizing the need for a clear pathway to resolve cases and promote an entrepreneurial mindset among young professionals with establishing a framework to manage digital competition and bringing fuel and energy costs under the ambit of goods and services tax (GST) while abolishing state-level taxes.”

Mr. Akshat Khetan believes in dwelling on the following subjects which are very critical in changing the legal landscape in the country.     

The annals of our nation’s corporate journey are rich with instances where legal jurisprudence has stood as the bedrock of ethical commercial practice. Our judiciary, armed with the Constitution, statutory frameworks, and an ever-evolving corpus of case law, has tirelessly navigated the complex waters of corporate governance, competition, labor relations, and consumer protection, fostering an environment where business integrity and social responsibility are not mutually exclusive.

 

It is also critical to acknowledge and address ongoing challenges. Corporate malpractices, regulatory hurdles, and economic disparities continue to taint the canvas of our corporate environment. It falls upon the robust partnership between legal jurisprudence and administrative governance to usher in an era of sustainable and inclusive growth.

As we move forward, the path beckons the legal fraternity, corporate leaders, and government bodies to foster a dialogue of development, ethics, and transparency. It is through this triad of trust, accountability, and innovation that Corporate India will not just thrive but also serve as a beacon of balanced progress in the global economic arena.

A country’s economic success is not only about resource availability but equally about the presence of a robust legal system that safeguards trust, investment, and fairness for all. Just as the skeletal system keeps the human body functional and stable, the legal system serves as the backbone keeping a nation’s economic body upright and moving forward.

 

Insolvency and Bankruptcy Code:  Several amendments to the IBC are due. Now, it is for the law makers to decide whether further steps are required to provide the necessary confidence to foreign investors and lenders. After all, the aim was to keep businesses going and attract foreign investment. In its present form, the IBC has not been able to instil too much confidence among domestic or foreign investors.

Wilful Defaulters: It is well documented that till date, in our country’s top 50 “wilful defaulters” owned INR Rs. 9,2570 crores to Indian banks.  Another reason for economists' lack of attention on wilful default is that it is a phenomenon unique to India and most economic research till recently has been largely U.S.-centric. So, it's not surprising that wilful defaults as a topic of research have been largely ignored in economics and the finance profession. But this “underinvestment” in research on a pertinent and critical economic problem should be a concern for academics and policy-makers in India.

Goods and Services Tax (GST): Another important factor to consider is the GST council's and the government's growing maturity in terms of taxation compliance and related offences. For a long time, financial crimes, particularly tax evasion, should be judged through the lens of circumstance rather than solely on the criterion of dishonestly increasing individual wealth. GST council's landmark decisions in its 48th meeting, such as decriminalising GST offences involving obstruction of duty, deliberate tampering with material evidence, and failure to supply information, as well as doubling the threshold limits of tax amounts for initiating prosecution from 1 crore to 2 crore for all offences other than those involving fake invoices, demonstrate that the government understands that every tax-related offence is not an act of deliberate perjury.

Enabling foreign law firms in India: could have two major advantages. First, for a country like India which boasts of the world’s largest workforce of lawyers, a cultural exchange of sorts could empower us with international exposure. While the entry of foreign legal firms is perceived as a risk, there is a probability that competition may lead to an increase in the quality of legal services as well as motivation to render better services to clients. We could also witness much awaited increase in pay standards applicable to both law firms as well as individual lawyers.

Finally, I would Like to tell all my fellow colleagues and young professionals who are setting up their career in this professional environment that in this environment today no generation of being a lawyer is going to work, no family dynasty is going to survive, determination and hard work, knowledge and honesty are the four qualities in which you’ve to indulge yourself and then skies the limit. Business and money are the by-products of your knowledge. So, focus on smart hardworking because we all are in the age of smart working and focus on read and reciprocate more and more. Be more practical as long as you are not restricted to what is written in the law books but more between the lines and beyond the books that is my short and simple advice.