Society News for the month of February 2025
Details:
1. Alternative Investment Fund (AIF) Conclave 2025 was held on 17th and 18th January, 2025 at Hotel Ginger Mumbai Airport.
This event was organized by the Finance, Corporate, and Allied Laws Committee jointly with the National Institute for Securities Market (NISM) on Friday and Saturday, 17th and 18th January, 2025, at the Hotel Ginger Mumbai Airport. Kotak Alternate Assets Manager Limited supported the event as Knowledge Partners.
The details of the program were as follows:
Keynote Address on India’s Regulatory Framework and the Role of AIFs in Capital Markets-Shri Manoj Kumar, Executive Director, SEBI, delivered the keynote address, highlighting the critical role of AIFs in driving innovation and economic growth. He discussed recent regulatory developments, SEBI’s focus on transparency and investor protection, and the need for adopting best practices in the evolving AIF landscape.
Day 1: Foundation & Regulatory Landscape
Session 1: Introduction to AIFs- CA DhavalVakharia S V N D & Associates, Chartered Accountants: provided an overview of AIFs, explaining their structure, types, and regulatory framework. He highlighted the key differences between AIFs and traditional investment vehicles, emphasizing their appeal to high-net-worth individuals and institutions.
Session 2: Legal and Regulatory Framework of AIFs- Adv. Leelavathi Naidu IC Universal Legal: outlined the legal and regulatory framework governing AIFs, focusing on SEBI’s regulations. She addressed challenges in compliance and the importance of investor protection within this sector.
Session 3: Structuring an AIF-CA Subramaniam Krishnan Ernst & Young LLP: discussed the key considerations in structuring AIFs, including entity types, tax optimization, and governance. He emphasized how proper structuring ensures compliance and attracts investors.
Session 4: Investment Strategies for AIFs – Equity, Debt, and Hybrid Models – CA ShitalGharge Senior Vice President, Kotal Alternate Asset Manager Limited: CA ShitalGharge explored various investment strategies for AIFs, including equity, debt, and hybrid models. She discussed how each strategy aligns with investor objectives and market conditions, offering diverse risk-return profiles.
Session 5: Role of Trustees in AIFs – Ensuring Governance and Compliance- CA Naushad Panjwani Chairman, Mandarus Partners and Board Member – ITI Trusteeship: discussed the vital role of trustees in ensuring governance and regulatory compliance within AIFs. He emphasized the importance of trustee oversight to protect investor interests and ensure transparency.
Panel Discussion 1: Key Challenges for Aspiring AIF Promoters Panelist 1: Mr. Abhishek PrasadManaging Partner, Cornerstone Venture Partners, Panelist 2: Mr Gopal Modi Limited Partner in various funds, Panelist 3: Ms Aparna Thyagarajan Chief General Manager, SEBI Panelist 4 MrSachinTagra Managing Partner, JSW Ventures & Moderator Prof. K S Ranjani Asst. Professor, Indian Institute of Management. Mumbai: This panel addressed challenges faced by AIF promoters, including fundraising, regulatory hurdles, and market competition. Panellists shared practical strategies to overcome these obstacles and succeed in the AIF sector.
Session 6: Technology and Innovation in AIFs- Mr. Neeraj Sharma, Executive Vice President – Technology, 360 One Asset Management Limited, discussed the role of technology in AIF operations, focusing on AI, blockchain, and digital platforms. He highlighted how technology improves efficiency, transparency, and investor engagement in AIFs.
Day 2: Advanced Techniques & operational Aspects
Session 7: GIFT City Showcase: India’s Emerging Global Financial Hub for AIFs – Mr. Sandip Shah Head – IFSC Department, GIFT City: presented GIFT City as a global financial hub, outlining its advantages for AIFs, including tax incentives, infrastructure, and favourable regulations. He discussed how GIFT City can help India attract international AIF investments.
Session 8: Comparative Global Destinations for AIFs: Opportunities and Strategies- Adv. Siddharth Shah Khaitan& Co: Adv. Siddharth Shah compared global AIF destinations, discussing regulatory advantages and challenges in jurisdictions like Singapore, Luxembourg, and the Cayman Islands. He offered strategies for selecting the best jurisdiction for AIFs.
Session 9: Fundraising, Investor Relations, Risk Management, and Compliance in AIF – CA Shreyas Trivedi Partner & CFO, Cornerstone Venture Partners: focused on fundraising, managing investor relations, and ensuring compliance in AIFs. He shared strategies to build investor trust, address risks, and navigate regulatory complexities effectively.
Session 10: Valuation, Reporting, and Transparency – Mr. Ravishu Shah, Managing Director at RBSA Advisors, emphasized the importance of accurate valuation, transparent reporting, and maintaining high standards of financial integrity in AIFs. He discussed methodologies and best practices for ensuring investor confidence.
Panel Discussion 2: Success Journeys of AIF Funded Companies – Panelist 1: MrUmair Mohammed, Chief Executive Officer, Nitro Commerce, Panelist 2: Mr Sandeep Ghule Co-Founder and Chief Product Officer, Credilio Financial Technologies Private Limited & Panelist 3: Mr. Manish Chhabra Chairman of Hygienic Research Institute Private Limited, Moderator: Mr. PranayVakil Chairman of Praron Consultancy (India) Pvt. Ltd.:Panellists shared the success stories of companies funded by AIFs, highlighting the role of AIF capital in their growth. They discussed key factors contributing to success, such as market positioning, innovation, and strategic partnerships.
The 2-day AIF Conclave brought together industry leaders, professionals, service providers, regulators and experts to discuss the latest trends and challenges in the Alternative Investment Funds sector. With insightful sessions, enriching discussions, and valuable networking opportunities, participants explored innovative strategies and solutions to navigate the evolving landscape. The conclave concluded on a high note, reinforcing the importance of collaboration and knowledge-sharing in shaping the future of AIFs. Participants attended the program. Out of the total 146 participants, 88 were BCAS members, and the remaining 58 were non-members. Further, 47 of the participants who attended this seminar were from outside of Mumbai.
On the sidelines of the AIF conclave, a Closed-Door Roundtable Discussion was held on the Challenges and Gaps in the AIF Ecosystem. The discussion was attended by Shri Rajesh Gujjar, Chief General Manager at SEBI, officials from BCAS and NISM, top leadership from 15 AIFs, and legal experts. The session was moderated by Adv. Siddharth Shah. The insights and suggestions provided by the panellists were documented and will be presented to the regulators in the form of a White Paper.
2. Lecture Meeting on Navigating the Insolvency & Restructuring Landscape
The Lecture meeting on “Navigating the Insolvency & Restructuring Landscape” was held virtually on Wednesday 15th January, 2025. More than 150 participants attended the webinar.
The Keynote address was delivered by Mr. M.S. Sahoo, Former Chairperson – IBBI.
The key takeaways of the session are:
- The Insolvency and Bankruptcy Code (IBC) aims to resolve stress by reviving viable companies and facilitating the exit of unviable ones. The IBC uses both resolution plans and liquidation as means to achieve stress resolution.
- The IBC overrides pre-insolvency rights and prioritizes stakeholder claims via a hierarchical order. It is designed to prevent a value-reducing run on company assets.
- The code rebalances the rights of stakeholders, allowing creditors to decide the fate of debt-laden companies, as they are considered to possess the necessary commercial wisdom.
- IBC is not a recovery mechanism. The code’s performance should be assessed based on its effectiveness in resolving stress, not just the recovery rate. It is realizing 65% of the value of the assets, which is the organizational capital.
- The IBC promotes entrepreneurship by providing a framework for stress resolution, but it currently only applies to corporate entities, leaving proprietorships, partnerships, and individuals without access.
Key takeaways from – Role of Chartered Accountants under IBC by CA Dhinal Shah
- Chartered Accountants (CAs) can play a critical role as resolution professionals (RPs), acting as a link between the corporate debtor, creditors, and potential buyers. This role requires them to act as a de facto CEO.
- The role of an RP is demanding and requires a broad range of skills, including soft skills, business acumen, and a solution-oriented approach. RPs need to maintain the company as a going concern.
- CAs can contribute in various supportive roles, such as verification of claims, preparing and updating accounts, and ensuring regulatory compliance.
- CAs can also play a crucial role in investment banking activities, assisting with the preparation of information memorandums and identifying potential buyers.
- It is critical to maintain integrity, ethics, and transparency while performing any role under the IBC and avoid any conflict of interest.
The field of insolvency and restructuring continues to evolve with significant developments, challenges, and opportunities for professionals. The webinar helped the participants to gain insights from the experts and enhance their understanding of this critical domain.
BCAS Lecture Meetings are high-quality professional development sessions which are open to all to attend and participate. The readers can view the lecture meeting at the below-mentioned link/code:
YouTube Link: https://www.youtube.com/watch?v=RJ2fWjg6UBI
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3. Succession & Estate Planning – Advanced Tax and Legal Aspects held on Saturday, 4th January, 2025 @ IMC, Churchgate.
This event was organized by the Finance, Corporate, and Allied Laws Committee on Saturday, 04th January, 2025 at the IMC Hall, Churchgate.
The details of the program were as follows:
Key Strategies for Wealth Transfer – CA Ketan Dalal: Informative session on wealth transfer that guided the participants through the subtle intricacies of gifting, bequests, and the delicate dance of tax efficiency.
Legal Framework of Wills & Probate:Drafting and Contesting Wills – Adv. Bijal Ajinkya: The enlightening lecture demystified the art of wills and probate. It helped equip the participants with the tools to draft wills that stand the test of time and mitigate disputes before they arise.
Trusts in Estate Planning: Structuring, Taxation and Legal Framework – CA Suresh Surana: Descriptive discussion which unravelled the magic of trusts—structures that combine the elegance of legal precision with the power of asset protection. This session redefined the way you approach succession planning.
Cross-Border Estate Planning: Navigating International Tax and Legal Complexities – Adv. Nishith Desai: A contemporary talk by this global thought leader, his expertise helped bridge the chasm between jurisdictions; this session highlighted the myriad of different laws affecting different countries and their complex laws.
Panel Discussion: Key Challenges and Future Trends – Panellist: CA DrAnup Shah & CA ParthivKamdar and Moderator: CA SnehBhuta: An interactive exchange by the power-packed panel, artfully moderated with precise questions that delved into the future of succession planning, giving us a lens into the emerging challenges and trends that will shape the profession in the years to come.
The Seminar brought forward a holistic perspective on Succession and estate planning laws, it included a series of interactive sessions which simplified this complex topic.
The program had 190 physical attendees. Out of the total 190 participants, 121 were BCAS members, and the remaining 69 were non-members. Further, 48 of the participants who attended this seminar were from out of Mumbai.
4. India’s First Edition of CA-Thon 2024 – Run For A Cause on 22nd December 2024 in South Mumbai – by Seminar, Membership & Public Relations (SMPR) Committee.
India’s First Edition of CA-Thon 2024 – Run for Cause was organized on Sunday, 22nd December 2024, in South Mumbai (the area around Azad Maidan) under the aegis of the Seminar, Membership &Public Relations (SMPR) Committee.
The event attracted 1,600+ participants – Chartered Accountants and non-Chartered Accountants alike – between the age group of 7 to 70 years – drawn from all walks of life, from different corners of the country.
The event helped increase the visibility of Brand BCAS at a pan-India level, deepen relationships within the community at large, promote health and fitness among participants drawn from all walks of life and contribute to a righteous cause(part of the proceeds went donating sewing machines to women from marginalized communities, to help supplement their livelihood and become financially independent). BCAS Foundation also joined hands in supporting these women through this donation.
The CA-Thon proved to be a fitting finale to an eventful year – one which had started with the grand three-day mega event in January 2024.
5. Workshop on Mastering the Art of Negotiation held on Saturday, 21st December, 2024 @ BCAS.
The Speaker for the Workshop Mr. Jagdeep Kapoor, is a leading Brand Strategic Marketing Consultant with an impressive list of clients- national and foreign. He defines negotiation as the means by which people deal with their differences. In the Workshop, he discussed various ways that would help professionals like Chartered Accountants to be good negotiators.
The starting point to negotiate effectively is overcoming the fear of losing clients, for which one should choose expertise, be sure of oneself, and be decisive, disciplined and proactive.
Further, it is important to assess the core style of negotiation that one has, like – is one naturally inclined to fight or take flight or filled with fright in negotiation scenarios. Whatever the style, one has to keep in mind that the basic objective of negotiation is to continue the business and professional relationship seamlessly.
There are barriers to negotiation which should be broken like lack of trust, poor communication, over-confidence, irrational expectations and ego-driven escalations of the offer.
Mr. Kapoor shared a 9E Strategy Module, which covers nine qualities to be possessed for negotiating effectively which are- Exclusive, Excellent, Effective, Engaging, Efficient, Economical, Expertise, Extraordinary and Evolving. Each of these was explained in detail with examples from his own experiences.
Lastly, the Speaker also shared ways of handling objections from the clients by normalizing them and giving appropriate responses.
The program had 42 physical attendees.
6. ITF Study Circle Meeting held on Thursday, 12th December, 2024 @ Zoom.
The International Tax and Finance Study Circle organized a meeting (online mode) on 12th December, 2024 to discuss the issues faced by Fiscally Transparent Entities in claiming the benefit of tax treaties.
The Group Leader commenced the discussion with the meaning and type of Fiscally Transparent Entities in various jurisdictions and the core issue involved in claiming tax treaty benefits.
The Group further discussed the recent ruling of the Delhi Tribunal in the case of General Motors and other significant rulings with respect to the availability of the tax treaty benefits to Fiscally Transparent entities and India’s position on the above issue was also discussed.
The discussion ended with members expressing their views on various controversies arising out of the core issue of the availability of tax treaty benefits to Fiscally Transparent Entities.
