Not-for-profit companies under govt scanner for flouting norms

Companies set up with an express 'not-for-profit' charter have come under government scrutiny for going against that mandate. The finance ministry has sought a review of the regulatory regime for such so-called Section 25 companies under the Companies Act, including foreign direct investment (FDI) policy as it relates to them to plug possible loopholes and abuse of their special status, which confers special tax concessions.

Source : http://economictimes.indiatimes.com/news/economy/policy/not-for-profit-companies-under-govt-scanner-for-flouting-norms/articleshow/24897215.cms