Why Form GNL -1 Should be made as STP form?Can balance sheets be signed digitally? MCA DEADLINE
Channel: R V Seckar
Date: 2020-09-05

Why Form GNL -1 Should be made as STP form?Can balance sheets be signed digitally? MCA DEADLINE 
Why Form GNL -1 Should be made as STP form?
The Registrar of Companies may, on an application made to it by way of filing of Form GNL-1 with certified true copy of the Board Resolution/General Meeting Resolution, extend the period for holding the Annual General meeting for a period not exceeding 3 months. The Companies are not allowed to make an application for extension of time for the First Annual General Meeting. And, therefore, the non-holding of 1st AGM will be a non-compliance of the Section 96 of the Companies Act, 2013 and the Company will be liable for penal provisions.
General Circular No. 28/2020 dated 17th August, 2020
Companies which are unable to hold their AGM for the financial year ended on 31.03.2020, despite availing the relaxations provided in the G.C. 20/2020 ought to file their applications in form No. GNL-1 for seeking extension of time in holding of AGM for the financial year ended on 31.03.2020 with the concerned Registrar of Companies on or before 29.09.2020.
The Registrars of Companies are hereby advised to consider all such applications (filed in Form No. GNL-1) liberally in view of the hardships faced by the stakeholders and to grant extension for the period as applied for (up to three months) in such applications. 
However , due to administrative reasons , regional ROC may delay their approval for the extension of AGM. Then , in such situations , stakeholders may have to apply to NCLT. To avoid such situation in the COVID-19 Scenario, it is requested that MCA should come forward to make the GNL-1 Form as STP form.  By doing this , stakeholders may have the extension up to 31st December 2020 without any issue.  =============================

Can balance sheets be signed digitally?. Will that be acceptable under Law?
Under Information Technology Act, documents signed digitally is acceptable and IT Act prevails over other statute. 
SEBI has specifically allowed use of digital signature by issuing circular (i December 31, 2020)

These days Video Conferencing, Electronic Voting and Electronic Records are becoming a norm. In this digital environment, it is important to understand about the authenticity and validity of signing various documents digitally by a Director of a company.
At present Information Technology Act, 2000 provides for recognition of
Electronic/Digital Signatures. However there is limited reference to Digital signatures in other Acts like Companies Act, 2013 and Indian EvidenceAct,1872. Signing by means of digital signature is optional but in certain cases it is mandatory to validate electronic records through digital signatures.
Companies Act, 2013
As per Sub Rule (1) of Rule 8 of Companies (Registration offices and Fees) Rules, 2014 , An electronic form shall be authenticated by authorized signatories using a digital signature.
Further As per Sub Rule (6), A scanned image of documents shall be of original signed documents relevant to the e-forms or forms and the scanned document image shall not be left blank without bearing the actual signature of the authorized person
Indian Evidence Act 1872
The Information Technology Act, 2000
Documents which cannot be signed digitally.
As per First Schedule of the Information Technology Act, 2000, for the
following documents and transactions the provisions of the Act shall not be applicable
1) A negotiable instrument (Other than a cheque) as defined in section 1 of  the Negotiable Instruments Act 1881




2) A power of attorney as defined in section 1A of the Powers –of- Attorney Act,1882 
3) A trust as defined in section 3 of the Indian Trust Act, 1882
 4) A will as defined in clause (h) of section 2 of the Indian Succession Act,1925 including any other testamentary disposition by whatever name called 
5) Any contract for the sale or conveyance of immovable property or any interest in such property.
There can always exist some doubts in the mind of the user of DSC as the law does not prescribe elaborate procedure. Therefore, it is very important that Govt. should come out with clear cut detailed guidelines in this regard and especially in these times of “Lockdown” for using Electronic/ Digital signatures under various Acts by Directors or any other persons.

MCA FORMS DEADLINE AS ON 30 September 2020
FORM NO  DETAILS  DUE DATE 
LLP 11 Annual Return of LLP  30 September 2020
PAS -6 Reconciliation of Share Capital Audit Report 13 September 2020 
BEN -2  Disclosure of Significant Beneficial Owner 30 September 2020
DIR -3 KYC KYC of Directors 30 September 2020
MSME Delay in Payment to MSME Vendor 30 September 2020
DPT-3 Return of Deposit 30 September 2020
CFSS -2020 Scheme Waiver of Late Fees for forms  30 September 2020