Draft Letter for Extension of AGM

Date———————

To,

Registrar of Companies,

__________(Region/State)

Subject: Application for the extension of Annual General Meeting

Sir,

The —–st Annual General Meeting of the members of the company in respect of the year ended on 31st March 2020 is required to be held on or before, —September 2020. The company is not in a position to hold its Annual General Meeting within the stipulated time period.

The main reason for this is that despite all efforts made in this direction, the Financial statements could not be ready & Non-readiness of the financial statement due to the spread of Novel Coronavirus and consequent nationwide lockdown announced by the Government of India on 24th March 2020 at 8 pm and effective from 25th March 2020-14thApril, 2020.

The Lockdown was further extended till the 3rd May 2020(Lockdown 2) vide order dated 14th April 2020 issued by the Ministry of Home Affairs. It was extended by the Ministry of Home Affairs for a further period of two weeks w.e.f 4th May 2020 to 17th May 2020(Lockdown 3) and thereafter it was again extended up to 31st May 2020 (Lockdown 4) and up to 30.06.2020 vide notice issued by Ministry of Home Affairs with specified restrictions and relaxations (Lockdown 5).

Related Topic:
Draft Board Resolution for Extension of AGM

During the lockdown, the movement of people was restricted as per guidelines issued by the Ministry of Home affairs. Most of the commercial and private establishments were closed and only works from home were allowed. All non-essential public and private transport were suspended. Even if few establishments were allowed to be open during Lockdown 5, due to the paucity of transport, employees could not join the office and visit the client’s office for audit purposes. The Ministry of Home affairs issued fresh guidelines during Unlock 1 which kicked off with effect from 1st June, and allowed private offices to open but restricted the opening of metro and private bus services. In ——–(pls state the city /metro name), most of the employees live in the outskirts of the city or live in far-flung areas where only the transport medium is local trains or metro trains. When both of these services were suspended, most of the employees faced hardship in commuting to offices, and most of them opted for work from home. Digitization has not become very popular in the small-scale industry and most of the works involve paperwork so auditing of accounts had become troublesome in these situations.

Related Topic:
Clarification on holding of annual general meeting (AGM) through video conferencing (VC) or other audiovisual means (OAVM)

Though Unlock phases are going on, but no sign of normal working conditions is seen insight. Auditing and preparation of accounts are done mostly in the months of April to June 2020 but due to this ongoing pandemic, the same could not be finished in time.

The company is making its best efforts to conduct the AGM at the earliest. This is going to take some more time this year and by no means the accounts duly audited can be made ready to place before the Annual General Meeting on or before, 30th September 2020 (due date of AGM). Due to this unavoidable position, the Board of Directors of the company passed the resolution in its meeting held on, ————-(Copy attached)

Related Topic:
Detailed format of a management representation letter

The Registrar of Companies is humbly requested to kindly consider the aforesaid request and accord approval extending the period of Annual General Meeting in respect of the accounting year 2019-20 by a period of three months & oblige. However, we assure you that in the future all care shall be taken to finalize the annual accounts and convene the Annual General Meeting within the prescribed period.

In view of the unexpected, unusual and extraordinary circumstances, It is humbly submitted to seek an extension of time of months beyond, September 2020 for convening the Annual General Meeting of the company up to, 31st December 2020 by which time we hope to finalize the accounts for the year 2019-20 duly audited and place the same before the Annual General Meeting.

Yours Truly

For ———————-

DIRECTOR/COMPANY SECRETARY

Read the Copy: