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of <h1>Deadline for FY 2018-19 financial filings extended to Nov 30 without extra fees under MCA Circular 13/2019</h1> The HC held that the Ministry of Corporate Affairs' Circular No. 13/2019 extended the deadline for filing financial statements for FY ending 31.03.2019 to ... Rejection of refund the excess amount of additional fees charged from the appellants and the companies amalgamated with interest - Circular No. 13/2019 dated 29.10.2019 issued by the Ministry of Corporate Affairs extended the date of submission of e-forms like AOC- 4, AOC-4(CFS) and AOC-4 XBRL upto 30.11.2019 without levy of additional fee or not - entitlement for exemptions from levy of additional fee for the period upto 30.11.2019 - HELD THAT:- Undoubtedly, Section 137(1) prescribes a period of 30 days from the date of holding of AGM for a Company to submit copy of its financial statements etc. with such fee or additional fee as may be prescribed within the time specified under Section 403 of the said Act. Section 403 provides that any document required to be submitted, filed or registered, or any fact or information required or authorised to be registered under the Companies Act shall be done in the manner stipulated within the time specified in the relevant provisions on payment of such fee as may be prescribed. Learned Single Judge relied upon Section 403 to conclude that the said Section does not give any discretion to extend the time of taking the statements under Section 92 or 137 of the Companies Act or of reducing/waiving the fines. Unfortunately, the proviso to Section 403 was overlooked by the learned Single Judge while interpreting such provisions. A plain reading of the contents of the Circular leads us to observed that the Circular unequivocally postulates an extension of time for filing of financial statements for FY ending 31.03.2019, till upto 30.11.2019 for Companies without levy of additional fee. Once the time for submission of financial statements was extended from 29.10.2019 to 30.11.2019, such period would have to be considered conferring entitlement upon Companies to file/submit financial statements without levy of additional fee uptill 30.11.2019. If that were the case, then any company including the appellants herein had the right and entitlement to file its financial statements beyond 30.10.2019 but uptil 30.11.2019 without the necessity of paying additional fee. In such a scenario, if a company including the appellants submitted their financial statements beyond 30.11.2019, then having regard to the proviso to sub-section (1) of Section 403 of the Companies Act read with Circular no. 13/2019, no levy of additional fee upto 30.11.2019 could be demanded and an additional fee on or from 01.12.2019 to 21.12.2019 or any other later date, as the case may be, would undoubtedly be leviable upon the appellants. The appellants have also not disputed, rather, have admitted that additional fee of Rs.100/- per day on or from 01.12.2019 to 21.12.2019 or any other later date, would be payable by the appellants. The respondents are directed to calculate the additional fee at the rate of Rs.100/- per day for every day delay beyond 30.11.2019 in terms of Circular no. 13/2019 till the date of submission as the case maybe - appeal allowed. ISSUES: Whether Circular No. 13/2019 dated 29.10.2019 extended the due date for filing financial statements (e-forms AOC-4, AOC-4 (CFS), AOC-4 XBRL) without levy of additional fees up to 30.11.2019.Whether additional fees for delayed filing of financial statements should be levied from the original due date (30 days from AGM) or from the extended due date provided by the Circular.Whether the Circular can override or amend the statutory time limits prescribed under Section 137(1) and Section 403 of the Companies Act, 2013.The scope and applicability of Section 403 and its proviso regarding payment of additional fees for delayed filing under Sections 92 and 137 of the Companies Act, 2013.Whether the appellants are entitled to refund of excess additional fees charged for the period between the original due date and the extended due date granted by the Circular. RULINGS / HOLDINGS: The Circular No. 13/2019 dated 29.10.2019 did extend the due date for filing specified financial statements up to 30.11.2019 without levy of additional fees, thereby conferring an entitlement to companies to file within this extended period free of additional fee.Additional fees for delayed filing are leviable only from 01.12.2019 onwards and not from the original due date of 29.10.2019, as per the extension granted by the Circular.The Circular does not amend the statutory provisions but operates under the proviso to sub-section (1) of Section 403 of the Companies Act, which expressly permits submission beyond the prescribed period on payment of additional fees, thereby allowing extension of time.The proviso to Section 403(1) is an exception to the strict timelines and empowers the authority to extend the filing period subject to payment of additional fees, which the Circular exercises.The appellants are entitled to refund of the excess additional fees charged for the period between 29.10.2019 and 30.11.2019, as no additional fee was payable for that period under the Circular's extension. RATIONALE: The Court applied the provisions of Section 137(1) of the Companies Act, 2013, which mandates filing of financial statements within 30 days of the AGM, and Section 403(1) which prescribes fees for filing within prescribed time.The proviso to Section 403(1) was critically analyzed, which allows filing beyond the prescribed period on payment of additional fees, thus providing statutory authority for extension of filing deadlines.The Circular No. 13/2019 was interpreted as an exercise of power under the proviso to Section 403(1), granting a specific extension of time without additional fees up to 30.11.2019 for the relevant financial year filings.The learned Single Judge's interpretation that no administrative Circular can amend statutory provisions was rejected, as the Circular operates within the statutory framework and proviso exceptions.The Court emphasized that the extension period granted by the Circular must be recognized for waiver of additional fees, and additional fees are only payable for delays beyond the extended date.No dissent or doctrinal shift was indicated; the decision clarifies the interplay between statutory provisions and administrative Circulars regarding filing timelines and fees.
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