Ministry of Corporate Affairs on 23rd of September 2021 has extended the time limit for conducting the Annual General Meeting for the Financial Year 2020-21. Various states (Office of Registrar of companies) have passed Orders for extension of the time limit for holding AGM for the FY 2020-21 in terms of the third proviso to Section 96(1) of the companies Act, 2013 considering the difficulties faced by the companies in comply with the statutory provisions of Companies Act.
As per Section 96(1) of the Companies Act, 2013 every company excluding a one-person company is required to hold a General Meeting to be named as Annual General Meeting (AGM) other than other meetings. The time limit between the two Annual General Meeting should not be more than 15 months.
However, as the First proviso to Section 96(1) states that:
- In case of a newly incorporate company the first AGM shall be held within a time limit of 9 months from the date of closing its first financial year. For say if the company is incorporated on 15th December of the previous financial year, it shall hold its AGM by 31st December of the following financial year.
- In other cases, the Annual General Meeting should be held within a time frame of 6 months from the end of the financial year. For an existing company, it should hold its AGM by 30th September of the following year.
The third proviso to Section 96(1) states that the Office of Registrar of companies may extend the time limit for conducting the AGM by not more than 3 months on the basis of special reasons excluding the First AGM.
|Particulars||Original AGM Due Date||Extended due date of AGM||Remarks|
|Annual General Meeting (AGM) other than First AGM||30th September 2021||30th November 2021||No need to file Form No. GNL-1 for seeking such extension|
Order of Extension – 23rd September 2021