The Rajya Sabha on Wednesday has introduced the Limited Liability Partnership (Amendment) Act, 2021 to amend the Limited Liability Partnership Act, 2008.
The Limited Liability Partnership (Amendment) Bill, 2021 proposes to introduce the concept of Small Limited Liability Partnership” along with the concept of “Small Company” under the Companies Act, 2013.
According to the Bill, a small limited liability partnership shall mean an Limited Liability Partner having contribution up to Rs. 25 lakh (Govt. may raise the limit up to maximum 5crores) or the turnover of Rs. 40 lakhs in the preceding financial year (the limit can be hiked to Rs. 50 crores by Govt).
The Bill allows the central government to establish special courts for ensuring speedy trial of offences under the Act. The special court will consist of: (i) a Sessions Judge or an Additional Sessions Judge, for offences punishable with imprisonment of three years or more; and (ii) a Metropolitan Magistrate or a Judicial Magistrate, for other offences. They will be appointed with the concurrence of the Chief Justice of the High Court. Appeals against orders of these special courts will lie with High Courts.