MCA has vide its notification dated 28th August, 2020 amended the relevant provisions of Companies (Management & Administration) Rules, 2014 by directing that where a company has posted its annual return in form MGT-9 on its website, then it need not attach the same annual return as part of its Board report on the financials of the company.
Hitherto, every company was required to attach a form MGT-9 which gives details of the company promoters, principal business activities, particulars of holding, subsidiary, associate companies, shareholding pattern of promoters, directors, key managerial personnel, indebtedness, remuneration of directors, key managerial personnel, penalties, compounding of offences if any by the company during the relevant financial year.
Every year, the company was required to make this annual return in form MGT-9 and attach it to the Board report. Now the MCA has given an option to companies to post this data on their website and give only a weblink, where the shareholders can access the same to view it.
If the company posts the annual return on its website and attaches the web link on its board report, then it will be considered as compliant with the provisions of the Act & the rules.