In a Circular dated 29th September, 2020 the Ministry of Corporate Affairs (“MCA”) has informed that it has further extended the timeline for compliance with the following till 31st December, 2020:
i. Requirement of creation of deposit repayment reserve of 20% of deposits maturing during the financial year 2020-21
ii. Requirement to invest or deposit at least 15% of amount of debentures maturing in specified methods of investments or deposits
Background:
In a previous circular dated 19th June, 2020, MCA had extended the timeline for the abovementioned compliances till 30th September, 2020. However, in view of the requests and representations received from various stakeholders seeking extension, the present order has been issued.
Source: Ministry of Corporate Affairs