The Ministry of Corporate Affairs (MCA) has directed Registrar of Companies (RoC) to accord approval of three months extension to corporations who haven’t capable of maintain their annual basic conferences (AGMs) for the monetary 12 months ended March 31. “It has been decided that RoC should be directed to accord approval for extension of time for a period of three months beyond the due date by which companies are required to conduct their AGMs for the financial year 2019-2020 ending on March 31, 2020,” mentioned the MCA in a press release.
Earlier final month, MCA has issued a clarification to its order that no basic extension for the due date of holding AGM for monetary 12 months 2019-20 has been given. But such corporations can file an utility with their RoC on or earlier than September 29 in a specified type (GNL-1) for looking for extension of time in holding of AGM for the monetary 12 months ended March 31.
These functions will probably be seen by RoC and extensions will probably be granted for a most of three months, the round mentioned. Indian corporations are required to carry AGMs with six months of closure of the monetary 12 months which suggests earlier than September 30 for individuals who having March 31 as year-end.
Though the MCA had allowed corporations to carry digital AGMs utilizing audio-video functions, the prevailing pandemic disaster had made it a logistical nightmare for corporations to finish the audit features and finalise the annual reviews.