(1/13)FM Smt. @nsitharaman announced several relief measures taken by the Govt in view of #COVID19 outbreak, especially on statutory and regulatory compliance matters related to several sectors
#IndiaFightCorona
@nsitharamanoffc @Anurag_Office @PIB_India @ficci_india @FollowCII
#IndiaFightCorona
@nsitharamanoffc @Anurag_Office @PIB_India @ficci_india @FollowCII
(2/13)
Decisions related to Corporate Affairs are:
1. No additional fees to be charged for late filing during moratorium period from 1st Apr to 30th Sept 2020, for any document, return, statement etc., required to be filed in the MCA-21 Registry, irrespective of its due date.
Decisions related to Corporate Affairs are:
1. No additional fees to be charged for late filing during moratorium period from 1st Apr to 30th Sept 2020, for any document, return, statement etc., required to be filed in the MCA-21 Registry, irrespective of its due date.
(3/13)
1A. This will not only reduce the compliance burden in the MCA-21 Registry, including financial burden of companies/ LLPs at large, but also enable long-standing non-compliant companies/ LLPs to make a ‘fresh start’.
1A. This will not only reduce the compliance burden in the MCA-21 Registry, including financial burden of companies/ LLPs at large, but also enable long-standing non-compliant companies/ LLPs to make a ‘fresh start’.
(4/13)
2.The mandatory requirement of holding meetings of the Board of the companies within prescribed interval provided in the Companies Act (120 days), 2013, shall be extended by a period of 60 days till next two quarters i.e., till 30th September.
2.The mandatory requirement of holding meetings of the Board of the companies within prescribed interval provided in the Companies Act (120 days), 2013, shall be extended by a period of 60 days till next two quarters i.e., till 30th September.
(5/13)
3.Applicability of Companies (Auditor’s Report) Order, 2020 shall be made applicable from the financial year 2020-2021 instead of from 2019-2020 notified earlier. This will significantly ease the burden on companies & their auditors for the year 2019-20.
3.Applicability of Companies (Auditor’s Report) Order, 2020 shall be made applicable from the financial year 2020-2021 instead of from 2019-2020 notified earlier. This will significantly ease the burden on companies & their auditors for the year 2019-20.
(6/13)
4. As per Schedule 4 to Companies Act, 2013, Independent Directors (IDs) must hold at least one meeting w/o the attendance of Non-IDs & members of management. For year 2019-20, if IDs have not been able to hold even one meeting, the same shall not be viewed as a violation.
4. As per Schedule 4 to Companies Act, 2013, Independent Directors (IDs) must hold at least one meeting w/o the attendance of Non-IDs & members of management. For year 2019-20, if IDs have not been able to hold even one meeting, the same shall not be viewed as a violation.
(7/13)
5.Requirement to create a Deposit reserve of 20% of deposits maturing during the financial year 2020-21 before 30th April 2020 shall be allowed to be complied with till 30th June 2020.
5.Requirement to create a Deposit reserve of 20% of deposits maturing during the financial year 2020-21 before 30th April 2020 shall be allowed to be complied with till 30th June 2020.
(8/13)
6. Requirement to invest 15% of debentures maturing during a particular year in specified instruments before 30th April 2020, may be done so before 30th June 2020.
6. Requirement to invest 15% of debentures maturing during a particular year in specified instruments before 30th April 2020, may be done so before 30th June 2020.
(9/13)
7. Newly incorporated companies are required to file a declaration for Commencement of Business within 6 months of incorporation. An additional time of 6 more months shall be allowed.
7. Newly incorporated companies are required to file a declaration for Commencement of Business within 6 months of incorporation. An additional time of 6 more months shall be allowed.
(10/13)
8.Non-compliance of minimum residency in India for a period of at least 182 days by at least one director of every company, under Section 149 of the Companies Act, shall not be treated as a violation.
8.Non-compliance of minimum residency in India for a period of at least 182 days by at least one director of every company, under Section 149 of the Companies Act, shall not be treated as a violation.
(11/13) 9.Due to emerging financial distress faced by most companies on account of large-scale economic distress caused by COVID 19, the threshold of default under section 4 of IBC 2016 to Rs 1 cr from Rs 1 lakh. This will prevent trigger of insolvency proceedings against MSMEs
(12/13)
9A. If the current situation continues beyond 30.04.2020, we may consider suspending section 7, 9 and 10 of the IBC 2016 for a period of 6 months so as to stop companies at large from being forced into insolvency proceedings in such force majeure causes of default.
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9A. If the current situation continues beyond 30.04.2020, we may consider suspending section 7, 9 and 10 of the IBC 2016 for a period of 6 months so as to stop companies at large from being forced into insolvency proceedings in such force majeure causes of default.
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(13/13)
10.Detailed notifications/circulars in this regard shall be issued by the Ministry of Corporate Affairs separately.
For more details click below link:
pib.gov.in/PressReleseDet…
10.Detailed notifications/circulars in this regard shall be issued by the Ministry of Corporate Affairs separately.
For more details click below link:
pib.gov.in/PressReleseDet…
