Manner of account books to be kept in electronic mode.
The account books and other relevant books and maintained books in electronic mode shall remain in India will be accessible so as to be usable for reference subscription.
The accounts books and other relevant books and referred papers to be in sub-rule (1) shall be completely retained in the format which they were generated originally sent or received or in a format which shall accurately present the generated information, sent or received or in a format which shall be accurately present the generated information, sent or received or in a format that shall be accurately present the information sent, received or generated and the information contained in the electronic records shall be unaltered and complete,
In the branch offices the received information shall not be altered and in a manner shall be kept where it shall depict what was received originally from the branches.
The electronic records information of the document shall be capable of displayed being in a legible form.
There shall be a proper storage for retrieval, storage, printout or display of the electronic records as the Audit committee, if any or the Board may deem such records and appropriate shall not be disposed of or unusable rendered, unless by law permitted.
Provided that the accounts book backup and other books and the company papers maintained in electronic mode, outside India including at a place, if any, shall be kept physically servers located in India physically on a periodic basis.
To the registrar the company shall intimate on an annual basis at the time of financial statement filing.
a, the service provider name,’
b, the address of the internet protocol of service provider.
c, the service provider location (wherever applicable).
d, where the account books and papers and other books are maintained on cloud, as provided by the service provider such address.
Explanation:- The expression for this purpose of rule ” electronic mode” includes ‘electronic form” as defined in clause(r) of sub-section(1) of section 2 of Information Technology Act, 2000(21 of 2000) and an electronic record also includes as defined in clause (t) of sub-section (1) of section 2 of the Information Technology Act , 2000(21 of 2000) and “book of account” shall have the meaning under the act assigned to it.
Regarding conditions of central financial information and maintenance by directors.
The summarized of the books of the accounts of the company returns and outside India maintained shall be sent it to the registered office at intervals quarterly that shall be maintained and kept at the company registered office and kept open for inspection to the directors.
When any other financial information maintained is required by a director outside the country, the director shall furnish the request of the company setting out the financial information sought out full details, the period for which sought such information.
The company shall produce to the director such financial information to the director within the date of receipt for fifteen days of the request written.
Under sub-rules (2) and (3) the needed financial information for by the director shall be sought himself and not by or enough through his attorney power holder or representative or agent.
Form of Statement containing salient financial statements features of subsidiaries.
The containing statement the financial statement salient feature of a company’s subsidiary or subsidiaries, companies or associate company and ventures and joint ventures under the first proviso to sub-section (3) of section 129 shall be in Form AOC-1.
Manner of consolidation of accounts.
The financial statements consolidation of the company shall be made with the provisions of Schedule III of the Act in accordance and the accounting standards applicable.
Provided that in a company case covered under sub-section(3) of section 129 which is not needed to prepare financial statement consolidated under the standards of accounting, it shall be sufficient if the complies company with provisions on the provided financial statements consolidated under the Accounting standards, it shall be sufficient if the company complies with the consolidated financial statements with the provisions provided in the Schedule III of the Act.
Transitional provisions to Accounting standards with the respect.
The standards of accounting as mentioned under the Companies Act, 1956 (1 of 1956) to the accounting standards shall be deemed until accounting standards are specified under section 133 by the Central Government.
The national financial reporting authority company under section 132 of the Act, constituted the central Government may prescribe the accounting standards or thereto any addendum, as recommended by the Chartered Accountants of India Institution in consultation with the recommendations after examination made by the National advisory committee on constituted Accounting standards under section 210 of the Companies Act, 1956 (1 of 1956).
Matters in Board’s report shall be included.
Based on the on the financial company statements the board report shall be prepared stand alone and the report shall contain section which is separate wherein on the performance report and each of the subsidiaries financial position associates and companies joint venture in the consolidated financial statements is presented which is included.
The Report of the Board shall contain the information following and details, namely;-
The taken steps and conservation of energy impact;
the taken steps by the company for utilizing the energy alternate sources,
The capital investment on the equipment’s of the energy conservation,
Towards the absorption of technology the efforts made
The derived benefits like improvement of the product, reduction of the cost, development of product or substitution of import,
In case of technology imported (imported during the three years last reckoned from the financial year beginning
the imported technology details;
the import year;
whether the technology has been absorbed fully.
if not absorbed fully, areas where absorption has not taken place and thereof the reasons and
the incurred Research and Development expenditure
Earnings of Foreign exchange and Out go
The earned foreign exchange of actual inflows in terms during the year and the outgo foreign exchange during the actual outflows in terms of the year.
Every company and every other company which is listed public having a share capital of twenty five crore rupees paid up or calculated more at the preceding financial year end shall include, by its Board of directors in the report, a statement mentioning the manner in which annual evaluation which is formal has been made by its own performance of the board.
In addition to the information and details mentioned in sub-rule (4) the board report shall also contain
highlights or the financial statements;
the change in the business nature, if any;
the directors details or key managerial personnel who have resigned during the year were appointed.
the companies names which have ceased to be its subsidiaries , associate companies or joint ventures during the year