RECENT COMPLIANCE EXTENSIONS BY MINISTRY OF CORPORATE AFFAIRS
In order to provide “ease of doing business” MCA has enhanced the timeline regarding the duration of various schemes till the end of the year 2020. Due to several issues faced certain decisions have been taken by MCA.
As we are aware, The Union Finance Minister had early introduced various schemes like the Companies Fresh Start Scheme (CFSS) 2020 and LLP Settlement Scheme.
Now Union Finance Minister has announced the extension vide Circular No. 30/2020, 31/2020, 32/2020, and 33/2020 on 28.09.2020 with a view to providing a new opportunity to the existing companies by resolving their defaults with no extra fee payment.
Similarly, MCA has also extended the scheme for filing various forms related to modification and creation of charges under the Companies Act,2013, and time for Conducting EGM’s through Video Conference or other audio-visual has also been extended till the end of the year i.e till the end of December month.
The important notifications announced and notified are:
Earlier Ministry of Corporate Affairs had extended various schemes to 31.12.2020 due to the pandemic situation and to provide greater ease of doing business.
Ministry of Corporate Affairs had earlier introduced two new schemes that are Companies Fresh Start Scheme (CFSS) and LLP Settlement Scheme, where CFSS was valid from 01.04.2020 to 30.09.2020 and LLP was valid from 01.04.2020 to 13.06.2020 is now extended to 31.12.2020.
The Relaxation of filing forms related to the creation or modification of charges under the Companies Act, 2013, and the time for conduction EGM’s through Video conference and Audio-visual means has also been extended to 31.12.2020.
Therefore, the MCA on 28.09.2020, vide various circulars and notification extended the date of various schemes to 31.12.2020 which were launched for ease of doing Business, Schemes extended are as follows:-
1. Companies Fresh Start Scheme, 2020
2. LLP Settlement Scheme, 2020
3. Scheme for relaxation of time for filing forms related to Creation or Modification of Charges
4. Companies are allowed to conduct their EGM through VC or OAVM or transact items through Postal Ballot as per the framework provided in the MCA circular earlier.
5. Extension of time within which Independent Directors of companies have to register themselves on the databank maintained.
To know more and in detail about CFSS and LLP Settlement Scheme and AGM through video conference there are separate blogs on the website LegalSuvidha you can check.
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