Tag Archives: accounts

AGM extension

MCA has not given any extension of time to hold annual general meetings (AGM) of the shareholders of the companies whose financial year ended on 31st March, 2020. Such companies are required to hold their AGM on or before 30th September, 2020 failing which it will amount to violation of section 96 of the companies act, 2013. The maximum extension that can be given under the Act is 3 months i.e. upto 31st December, 2020.

What the MCA has directed companies to do is to ask them to file request for extension of AGMs and that should be filed on or before 29th September, 2020. In fact it is advisable to file the same well before that date. Invariably there is a corruption involved in such applications and the closer you apply to 30th September, 2020, the higher are their rates.

MCA has directed its officials to consider such applications favorably, but time will only tell ………

Their application needs to be filed in form GNL-1 and enclosing board resolution for making the application and the application itself laying down grounds due to which the extension ought to be given.

MCA has issued a circular no. 28/2020 dated 17th August, 2020, which is available on their site.

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SEBI – relaxations

SEBI has vide its circular dated 15th July, 2020 given relaxations in respect of debt listing, listing of non convertible redeemable preference shares and commercial papers to use unaudited financials with limited review provided that these unaudited financials are not more than 6 months old. 

It has also extended the timelines for submission of quarterly/ half-yearly/ yearly financial accounts as on 31st march, 2020 to 31st July, 2020.

Those issuers who propose to list their debentures/ preference shares/ commercial papers during the month of July, 2020 can use the available financial statements as on 31st December, 2019.

Copy of SEBI circular can be found here


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