Description
MCA vide orders issued by respective ROCs dated 08.09.2020 has extended the due date for holding AGM for all companies by 3 months to 31.12.2020. This has been done by passing orders by respective ROCs under the third proviso to Section 96(1) of the Companies Act 2013. Orders issued by ROC’s have stated that companies are not required to file an application in GLN-1 for getting this extension and also that extension is also applicable for companies whose application for an extension in GLN-1 is pending for approval.
Under the provisions of section 96(1) of Companies Act 2013, All Companies ( other than one person companies ) are required to hold AGM within 6 months from the end of the financial year. In the case of the First Financial year for newly incorporated companies, the time period is 9 months from the end of the first financial year. Hence the Due date for FY 2019-20 for companies other than newly incorporated companies was 30.09.2020. Due to the Pandemic many companies were not able to complete the audit and get the audit reports completed before September first week to issue 21 days' notice to the AGM. The stakeholders had made multiple requests to the government for grant extension without having to apply for an extension by companies. This order granting extension has come as a huge relief to companies and the Auditors in complying with the legal requirements under the Companies Act.
