Sep 30, 2020

Various reliefs in timelines by MCA due to COVID-19 pandemic

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Companies may hold EGM through Video Conference (VC) or other audio-visual means (OAVM) up to 31st December, 2020

In view of the current pandemic situation caused by COVID-19, MCA has allowed companies to conduct their EGMs through VC or OAVM up to 31st December, 2020 in accordance with MCA Circular No. 14/2020 dated 08th April, 2020. Previously, the last date was 30th September, 2020.

Click here to view Circular

MCA extends the last date of various schemes up to 31st December, 2020

In view of the large scale disruption caused by the COVID-19 pandemic, MCA has extended the last date of the following schemes up to 31st December, 2020:

  1. Companies Fresh Start Scheme (CFSS), 2020 dated 30th March, 2020;
  2. LLP Settlement Scheme, 2020 dated 30th March, 2020;
  3. Scheme for relaxation of time for filing forms related to creation or modification of charges dated 17th June, 2020.

Click here to view Circular-I
Click here to view Circular-II
Click here to view Circular-III

Last date to enter details in Independent Directors’ data bank further extended

MCA has further extended the last date to enter details in Independent Directors’ data bank by existing independent directors up to 31st December, 2020. Earlier, it was 30th September, 2020.

Click here to view Rules

MCA allows board meeting to be held via video conference on restricted matters for further 3 months

In view of the current pandemic situation caused by COVID-19, MCA has further relaxed the requirement of holding Board meetings with physical presence of directors in respect of the following matters:

  1. approval of the annual financial statements;
  2. approval of the Board’s report;
  3. approval of the prospectus;
  4. approval of the matter relating to amalgamation, merger, demerger, acquisition and takeover.

Now, these businesses can be transacted in Board meetings held through video conferencing or other audio-visual means by duly ensuring compliance of rule 3 of the Companies (Meetings of Board and its Powers) Rules, 2014 till 31st December, 2020. Earlier, MCA had given relaxation till 30th September, 2020.

Click here to view Rules

MCA extends time for creation of DRR up to 31st December, 2020

In view of the current pandemic situation caused by COVID-19, MCA has further relaxed the following compliance timelines up to 31st December, 2020:

  1. Requirement to create the Deposit Repayment Reserve of 20% of deposits maturing during the FY 2020-21;
  2. Requirement to invest or deposit at least 15% of amount of debentures maturing during the FY 2020-21.

The original date of compliance was 30th April, 2020, which was earlier, extended up to 30th September, 2020 vide Circular No. 24/2020 dated 19th June, 2020.

Click here to view Circular

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