The Ministry of Corporate Affairs has issued the Companies (Meetings of Board and its Powers) Amendment Rules, 2021 to further amend the Companies (Meetings of Board and its Powers) Rules, 2014. Under the new Rules, Rule 4 has been omitted. Accordingly, this deletes the provision related to the restriction of conducting Board Meeting through Video Conferencing/Other Audio-Visual Means for selected agenda items. Read the official announcement by ICAI decoding the amendment, below:
Corporate Laws & Corporate Governance Committee
The Institute of Chartered Accountants of India
1st July, 2021
ANNOUNCEMENT
Sub: Companies (Meetings of Board and its Powers) Amendment Rules, 2021
To ease the difficulties faced by Companies/Corporates to conduct Board meetings during the current outbreak of the Covid-19 pandemic and in future, the Ministry of Corporate Affairs (MCA) has, vide its Notification dated June 15, 2021, has issued the Companies (Meetings of Board and its Powers) Amendment Rules, 2021.
The said amendment has omitted Rule 4 of Companies (Meetings of Board and its Powers) Rules, 2014. Accordingly, this deletes the provision related to restriction of conducting Board Meeting through Video Conferencing/Other Audio-Visual Means for selected agenda items like approval of the annual financial statements, Board’s report, approval of the prospectus etc.
Earlier MCA had granted relaxation from the above restriction in a phased manner for a limited time upto June 30, 2021. With the latest notification there is no restriction on any matter to be dealt with in a board meeting through Video Conferencing (VC) or Other Audio Visual Means (OAVM).
Circular is available at the link-
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Members may note the above.
Sincerely Yours,
Chairman and Vice Chairman
Corporate Laws & Corporate Governance Committee
The Institute of Chartered Accountants of India
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