Covid-19: MCA eases attendance rules for board meetings till June 30

Taking precautionary steps in the light of the Corona pandemic, the government has relaxed the requirement of holding board meetings with physical presence of directors for activities including approval of financial statements and the board’s report.

The Corporate Affairs Ministry has issued a notification to allow companies to hold such board meetings through video conferencing till June 30. Companies will have to follow all requirements laid out under rules for holding board meetings via video conferencing such as recording of these proceedings, ensuring availability of proper equipment among others.

Existing company rules do not allow certain matters to be dealt with in a meeting through video conferencing or other audio-visual means. These include, the approval of the prospectus, annual financial statements, Board’s report, matters relating to amalgamation, merger, demerger, acquisition and takeover and the Audit Committee Meetings for consideration of accounts. Read More