Section 96 Of Companies Act 2013: Annual General Meeting (AGM)
Updated: Oct 14, 2022
What is an Annual General Meeting?
The Annual General Meeting (AGM) of a company refers to the meeting of the members of the respective company which takes place annually.
Section 96 of the Companies Act 2013
The section states that:
(1) Every company other than a One Person Company or Single Member Company shall in each year hold in addition to any other meetings, a general meeting as its annual general meeting and shall specify the meeting as such in the notices calling it, and not more than fifteen months shall elapse between the date of one annual general meeting of a company and that of the next.
In this act, it has provided that in case of the first annual general meeting, it shall be held within a period of nine months from the date of closing of the first financial year of the company and in any other case, within a period of six months, from the date of closing of the financial year.
It has 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 meeting in the year of its incorporation.
It has provided also that the Registrar may, for any special reason, extend the time within which any annual general meeting, other than the first annual general meeting, shall be held, by a period not exceeding three months.
(2) Every annual general meeting shall be called during business hours, i.e between 9 a.m. and 6 p.m. on any day however not on National Holidays ( day declared as National Holiday by the Central Government ), and shall be held either at the registered office of the company or at some other place within the city, town or village in which the registered office of the company is situated.
It has provided that the annual general meeting of an unlisted company may be held at any place in India if consent is given in writing or by electronic mode by all the members in advance.
It has provided further that the Central Government may exempt any company from the provisions of this sub-section subject to such conditions as it may impose.