{"id":1367,"date":"2021-03-11T07:33:00","date_gmt":"2021-03-11T07:33:00","guid":{"rendered":"https:\/\/www.akgvg.com\/blog\/?p=1367"},"modified":"2021-03-13T10:55:48","modified_gmt":"2021-03-13T10:55:48","slug":"amendement-conducting-of-board-meeting-through-video-conferencing-mode","status":"publish","type":"post","link":"https:\/\/www.akgvg.com\/blog\/amendement-conducting-of-board-meeting-through-video-conferencing-mode\/","title":{"rendered":"Amendement: Conducting Of Board Meeting Through Video Conferencing Mode"},"content":{"rendered":"\n<p>The Ministry of Corporate Affairs has vide its notification dated <strong>19<sup>th<\/sup> March 2020<\/strong> ameliorated the <strong>Companies (Meetings of Board and its Powers) Rules, 2014<\/strong>. The Rules are hereby called as <strong>Companies (Meetings of Board and its Powers) Amendment Rules, 2020<\/strong>.In addition to the existing amendment the Ministry of corporate affairs has again amended the Rule 4(2) of the <strong>Companies (Meetings of Board and its Powers) Amendment Rules, 2020 dated 23<sup>rd<\/sup> June 2020 and 31<sup>st<\/sup> December 2020<\/strong><\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"683\" src=\"https:\/\/www.akgvg.com\/blog\/wp-content\/uploads\/2021\/01\/shutterstock_1451535221-1-1024x683.jpg\" alt=\"Accounting In An Organization\" class=\"wp-image-1150\" srcset=\"https:\/\/www.akgvg.com\/blog\/wp-content\/uploads\/2021\/01\/shutterstock_1451535221-1-1024x683.jpg 1024w, https:\/\/www.akgvg.com\/blog\/wp-content\/uploads\/2021\/01\/shutterstock_1451535221-1-300x200.jpg 300w, https:\/\/www.akgvg.com\/blog\/wp-content\/uploads\/2021\/01\/shutterstock_1451535221-1-768x512.jpg 768w, https:\/\/www.akgvg.com\/blog\/wp-content\/uploads\/2021\/01\/shutterstock_1451535221-1-1536x1024.jpg 1536w, https:\/\/www.akgvg.com\/blog\/wp-content\/uploads\/2021\/01\/shutterstock_1451535221-1-2048x1365.jpg 2048w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>The MCA has amended the said rules as palladium against the outbreak of <strong>Novel Coronavirus (COVID-19)<\/strong> across the world.<\/p>\n\n\n\n<p>As the Companies which are registered in India have Indian as well as foreign directors, thus, the MCA has easedthe above said rules and has allowed the meeting of Board of Directors through video conferencing on the matters which were restricted in the Act and Rules.<\/p>\n\n\n\n<p><strong>What does video conferencing or other audio-visual means?<\/strong><\/p>\n\n\n\n<p><strong>&#8220;Video conferencing or other audio-visual means&#8221; <\/strong>means audio- visual electronic communication facility employed which enables allthe participants (that can be Auditor\/Director\/ Special Invitee) in a meeting to communicate concurrently with each other without any intermediary and to participate effectively in the meeting.<\/p>\n\n\n\n<p>Under <strong>Rule 4<\/strong> of <strong>Companies (Meetings of Board and its Powers) Rules, 2014<\/strong> the following matters have been restricted to be transacted through Video Conferencing mode:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>the approval of annual financial statements<\/li><li>the approval of the Board\u2019s report<\/li><li>the approval of the prospectus<\/li><li>Audit Committee Meetings for&nbsp;consideration of the financial statement including the consolidated financial statement if any, to be approved by the board under section 134(1)&nbsp;of the Companies Act and<\/li><li>the approval in the matter relating to amalgamation, merger, demerger, acquisition and takeover.<\/li><\/ul>\n\n\n\n<p>However, pursuant to the aforementioned amendment, the meetings of Board of Directors for the above said matters can also be held through video conferencing mode till <strong>31<sup>st<\/sup>December 2020 which was further extended to 30<sup>th<\/sup> June 2021<\/strong>.<\/p>\n\n\n\n<p>Also, the meetings held through VC have to be in compliance with <strong>Rule 3<\/strong> of <strong>Companies (Meetings of Board and its Powers) Rules, 2014<\/strong>.<\/p>\n\n\n\n<p><strong>Key points to be noted:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Is notice of Board meetings to be held through Video Conferencing given?<\/strong><\/li><\/ul>\n\n\n\n<p>Yes, The notice of the meeting shall be sent to all&nbsp; directors (or any other person as specified in act) in accordance with the provisions of <strong>sub-section (3) of&nbsp;<a href=\"https:\/\/www.akgvg.com\/\">section 173<\/a><\/strong>&nbsp;of the Act.<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Areminutes are prepared for Board meetings held through video conferencing mode or not?<\/strong><\/li><\/ul>\n\n\n\n<p>Yes, Pursuant to <strong>Rule 3<\/strong> of <strong>Companies (Meetings of Board and its Powers) Rules, 2014<\/strong> every company holding a meeting through Video Conferencing mode must record the proceedings and prepare the minutes of the meeting.<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Are the draft minutes circulated amongst the directors for their approval or comments?<\/strong><\/li><\/ul>\n\n\n\n<p>Yes, Pursuant to <strong>sub-rule 12 of Rule 3 <\/strong>of the <strong>Companies (Meetings of Board and its Powers) Rules, 2014 <\/strong>the draft minutes are circulated amongst the directors within <strong>fifteen days<\/strong> of the meeting for their approval and directors have to within <strong>seven days<\/strong> or such reasonable time as decided by the Board, give their approval, or communicate their comments.<\/p>\n\n\n\n<p><strong>This content is meant for information only and should not be considered as an advice or legal opinion, or otherwise. <a href=\"https:\/\/www.akgvg.com\/blog\/\">AKGVG &amp; Associates<\/a> does not intend to advertise its services through this.<\/strong><\/p>\n\n\n\n<p><strong>Posted by: CA Neetu Saini <\/strong><\/p>\n\n\n\n<p><a href=\"https:\/\/www.akgvg.com\/\"><strong>AKGVG &amp; Associates<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Ministry of Corporate Affairs has vide its notification dated 19th March 2020 ameliorated the Companies (Meetings of Board and its Powers) Rules, 2014. The Rules are hereby called as Companies (Meetings of Board and its Powers) Amendment Rules, 2020.In addition to the existing amendment the Ministry of corporate affairs has again amended the Rule&#8230;<\/p>\n","protected":false},"author":1,"featured_media":1149,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[120],"tags":[343,392,449,277,450,379],"class_list":["post-1367","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-secretarial-services","tag-akgvg-associates","tag-ca-firm-in-india","tag-novel-coronavirus","tag-secretarial-support","tag-section-173","tag-top-chartered-accountant-in-india"],"_links":{"self":[{"href":"https:\/\/www.akgvg.com\/blog\/wp-json\/wp\/v2\/posts\/1367","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.akgvg.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.akgvg.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.akgvg.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.akgvg.com\/blog\/wp-json\/wp\/v2\/comments?post=1367"}],"version-history":[{"count":6,"href":"https:\/\/www.akgvg.com\/blog\/wp-json\/wp\/v2\/posts\/1367\/revisions"}],"predecessor-version":[{"id":1385,"href":"https:\/\/www.akgvg.com\/blog\/wp-json\/wp\/v2\/posts\/1367\/revisions\/1385"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.akgvg.com\/blog\/wp-json\/wp\/v2\/media\/1149"}],"wp:attachment":[{"href":"https:\/\/www.akgvg.com\/blog\/wp-json\/wp\/v2\/media?parent=1367"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.akgvg.com\/blog\/wp-json\/wp\/v2\/categories?post=1367"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.akgvg.com\/blog\/wp-json\/wp\/v2\/tags?post=1367"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}