MCA has issued circular to provide greater clarity on passing of ordinary and special resolutions by companies under the Companies Act, 2013


The Ministry of Corporate Affairs vide its notification dated 13th April 2020 has issued a clarification regarding issue of notices to members for conducting EGMs using electronic means. This is to ensure compliance with COVID-19 related lockdown and social distancing requirements as well as principles of shareholder democracy. Companies shall ensure that the relevant companies facilitate registration of email addresses of the members who have not done so and make suitable disclosure in this regard at the time of issue of public notice in the newspapers.

The public notice to be issued by relevant companies under rule 20(4)(v)  should also specify the manner in which members who are holding shares in physical form or who have not registered their email addresses with the company can cast their vote through remote e-voting or through the e-voting system during the meeting.

Further for companies that are not required to provide the facility of e-voting shall send the notice through email and a copy of the notice shall be displayed on the website.

Click here to read the Notification.

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