The Ministry of Corporate Affairs has issued a circular providing clarification on holding Annual General Meeting (“AGM”) and Extraordinary General Meeting (“EGM”) through Video Conference (“VC”) or Other Audio Visual Means (“OAVM”) and passing of Ordinary and Special resolutions by the companies under the Companies Act, 2013.
The circular allows companies to conduct EGMs through VC or OAVM or transact items through postal ballot in accordance with the prescribed framework till further order. It has been further clarified that this circular must not be construed as an extension of the statutory timeline for holding of AGMs by the companies under the Companies Act, 2013 and the companies which have not adhered to the relevant statutory timelines will be liable to legal action under the appropriate provisions of the Act.
Source: Ministry of Corporate Affairs
