section 96 of the companies act 2013

[Guest]

First annual general meeting

Section 96

First AGM

'provided further that if a company holds its first annual general meeting as aforesaid,it shall not be necessary for the company to hold any annual general in the year of its incorporation..!! '

can anyone of u please help me in understanding that last phrase????

How can they conduct any other meetings after the close of first financial year(with in nine months)but with in the year of incorporation...the year of incorporation is already over nah???and the first agm is conducted after the end of their initial financial year(i had considered April 1 to march 31)

[DR.MARIAPPAN GOVINDARAJAN]

As per Section 96 any company other than one person company may conduct any meeting other general meeting (such as creditor meetings etc.,). The Annual general meeting shall also be conducted by the company. The time gap between one AGM and the other AGM shall not be exceeded 15 months.

The first annual general meeting shall be held within a period of nine months from the date of closing the first financial year of the company. For example if a company is formed on 10.09.2014 the first AGM is to be conducted within nine months from the date of closing of the first financial of the company i.e., within 9 months from 31.03.2015.

For subsequent years the AGM shall be held within six months from the date of close of the financial year.

The proviso, you referred, says that if a company holds its first AM so aforesaid it shall not be necesary for the company to hold AGM in the year of incorporation means the company in the example is not required to conduct AGM within 30.09.2015 (which is normal time limitation for the conduct of AGM).

There is no stipulation of conducting of other meetings after the close of first financial year as interpreted by you.

AI Summary

First Annual General Meeting timing: hold the initial AGM within the prescribed post financial year period; no separate AGM required in incorporation year. Section 96 requires the first Annual General Meeting to be held within the statutory period after the close of the first financial year, mandates shorter timing for subsequent AGMs, and limits the interval between AGMs. The proviso states that if the first AGM is held in accordance with that timing, the company need not hold an additional AGM in the year of incorporation; other general meetings remain permissible.