The Ministry of Corporate Affairs (“MCA”) vide General Circular No. 22/2020 dated June 15, 2020, which issued further clarifications to allow companies to conduct their EGMs through VC or OAVM or transact items through the postal ballot. Earlier, MCA has issued General Circular No. 14/2020 on 8th April 2020 and General Circular No. 17/2020 on 13th April 2020 for providing clarifications on the passing of ordinary and special resolutions by companies by holding extraordinary general meetings (EGMs) through video conferencing (VC) or other audiovisual means (OAVM) or the passing of certain items only through postal ballot without convening the general meeting. The framework provided in the said Circulars allows companies to hold relevant EGMs or transact relevant business through postal ballots, as per the procedure specified therein, up to 30th June 2020 or till further orders, whichever is earlier. Requests have been received from the stakeholders for extending the period up to which the framework provided in the aforesaid Circulars may be utilized by the companies.
The matter has been examined and it has been decided to allow companies to conduct their EGMs through VC or OAVM or transact items through the postal ballot in accordance with the framework provided in the aforesaid Circulars up to 30th September 2020. All other requirements provided in the said Circulars remain unchanged.
The Circular can be accessed at: http://www.mca.gov.in/Ministry/pdf/Circular22_15062020.pdf