With this amendment, now the companies having different establishments or branches or different units in any establishment or branch can now nominate an officer who has the authority and responsibility for planning, directing and controlling the activities of the establishments or branches or different units.
The Section 49 of the Legal Metrology Act, 2009 allows the companies to nominate any of its Directors as a person responsible for the business of the Company.
Earlier in case of violations under the Legal Metrology Act the prosecutions were initiated against the Directors of the companies even for the violation done by any establishment or branch or unit in any establishment or branch of the company.
There was request from various industries to allow nominating the person who is actually having the authority and responsibility of the establishment or branch or unit in any establishment or branch and not the Director, so that the notices for the violation done by the establishments or branches or units should not be issued to the Directors who are not responsible for the violation of establishment or branch or unit in any establishment or branch.
The companies under sub-section 2 of section 49 of the Legal Metrology Act, 2009 were required to nominate any of its Directors as a person responsible for the business of the Company.
The Department for the enhancement of the Ease of Doing Business and for reducing the compliance burden amended the Legal Metrology (General) Rules, 2011 to provide for the companies to nominate an officer of the establishment or branch or unit in any establishment or branch who has the authority and responsibility for planning, directing and controlling the activities of the respective establishment or branch or unit in any establishment or branch.
With this amendment companies having different establishments or branches or different units in any establishment or branch can now nominate an officer who has the authority and responsibility for the operations and activities of the establishments or branches or different units.
This will facilitate the companies to nominate a person who is actually responsible for the activities of an establishment or branch of the company in place of Director of the Company, who is not directly involved in day to day activity of that establishment or branch thereof.