ICSI requests for extension for facility of holding AGM via Video Conferencing

The Institute of Company Secretaries of India (ICSI) has made representation before MCA Secretary to requests for extension for facility of holding AGM via Video Conferencing.

At the outset, the Institute of Company Secretaries of India extends its gratefulness towards the Ministry of Corporate Affairs for its sensitized approach towards all its stakeholders and Its dedicated attempts made towards promoting ease of doing business, creating a conducive business environment and growth opportunities for the Indian Economy.

This has reference to Section 96(1) of the Companies Act, 2013 which provides that every company other than a One Person Company shall in each year hold in addition to any other meetings, a general meeting as its annual general meeting and shall specify the meeting as such in the notices calling it, and not more than fifteen months shall clapse between the date of one annual general meeting of a company and that of the next.

We wish to submit that the Ministry of Corporate Affairs vide General Circular no. 10/2022 dated 28th December, 2022, had allowed the companies whose AGMS are due in the Year 2023, to conduct their AGMs on or before 30th September, 2023 in accordance with the requirements laid down in Para 3 and Para 4 of the General Circular No. 20/2020 dated 05.05.2020 i.e., through video conferencing (VC) or other audio-visual means (OAVM).

Similar relaxation was provided vide General Circular no. 11/7077 dated 28th December 2022, wherein it was decided to allow companies to conduct their EGMs through Video Conference (VC) or Other Audio Visual Means (OAVM) or transact items through postel ballot In accordance with framework provided in the aforesaid Circulars up to 30th September, 2023.

Since the last date of such relaxation i.e., 30th September, 2023 is approaching and many companies are still in the process of convening their AGMs. Also, the professionals are also facing difficulty in filing the forms because of launch of MCA V3. In view of the same, it is requested that the said date for conducting AGMs and EGMs through Video Conference (VC) or Other Audio Visual Means (OAVM) or transact items through postal ballot may be extended to 30th September, 2024.

Furthermore, given the positive response of the stakeholders and higher number of participation witnessed from shareholders at these meetings on account of audio-visual aids, we request you to kindly consider bringing about an amendment in the Rules concerned to that effect. The same shall go a long way in both promoting ease of doing business as well as strengthening the existing governance framework in the Indian corporate.

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