Background
Considering the impact of the second wave of COVID-19 in the country, many companies were unable to finalize their financials as per the usual schedule. Hence, they were not in a position to conduct their Annual General Meeting (AGM) within the stipulated time period as specified in the Act - on or before 30 September 2021.
The Companies Act, 2013 has a provision under Section 96(1) which provides that the Registrar may, for any special reason, extend the limit by a period not exceeding three months under which companies can hold their AGMs, by filing e-Form GNL -1.
In this regard, the Ministry of Corporate Affairs has released an Office Memorandum on 23 September 2021 regarding the extension of due dates of AGMs by two months for the year ended on 31 March 2021 and requested the Registrar of Companies to release an Order in this regard.
Summary of the Order
- This extension is not applicable for companies holding their first AGM.
- There is no requirement to file e-Form GNL-1 to seek extension of the due date of the AGM.
- This extension also covers:
- Pending applications filed in form GNL-1, which are yet to be approved
- Rejected applications filed in form GNL-1
- Approved applications filed in form GNL-1, where the extension was approved for a period of less than two months
- This extension is not applicable to companies who have already received an extension of more than two months.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
