MCA has vide its Circular No. 20/2020 dated 5 May 2020, has permitted companies to conduct their AGM through Video Conferencing (VC) or other audio visual means (OAVM) during the calendar year 2020 subject to complying with the procedure and conditions as prescribed in the aforesaid circular. Some of the critical conditions are mentioned hereinbelow:
Company should have the email address of at least half of its total number of members;
Company should take all necessary steps to register the email address of the companies who have not earlier registered their email id with the Company;
Other than the ordinary business only those special items which are unavoidable should be considered;
Due to difficulty in sending hard copies of financial statements and other AGM related documents such documents should be sent by e-mail
Rights issue Notice by listed Companies:
Inability to dispatch Notice with regard to details of shares available for subscription by way of a rights issue to its shareholders via registered post or speed post or courier would not be viewed as violation of the provisions of the Companies Act, 2013. This relaxation shall be available for those listed companies having rights issue opening date up-to 31 July 2020. (MCA General Circular No. 21/2020 dated 11 May 2020)
FEMA:
Extension of time limit for Settlement of Import payment:
Reserve Bank of India (RBI) vide A.P. (DIR Series) Circular No. 33 dated 22 May 2020 has given relaxation for settlement of import payments. The time period for completion of remittance against normal imports has been extended from six months to twelve months from the date of shipment for such imports made on or before 31 July 2020. This relaxation is for all imports excluding import of gold/diamonds and precious stones/jewellery for which the payment period varies from 90 to 180 days.
