22 November 2010
1. The books of accounts u/s 209A of the Cos. Act are to be maintained at Registered Office.
Now the question arises, in todays SAP environment how this can be ensured or how the law can be complied with since the input and output can be executed from anywhere.
2. Whether investment in mutual funds and tradable securities should be entered in Register of Investment u/s 372A?
22 November 2010
Your observation is correct. But i would like to draw ur attention towards the proviso to section 209 (1) which reads as under:
Provided that all or any of the books of account aforesaid may be kept at such other place in India as the Board of directors may decide and when the Board of directors so decides, the company shall, within seven days of the decision, file with the Registrar a notice in writing giving the full address of that other place.
So All or any of the books may be kept at any place in India
All or any of the books of account aforesaid may be kept at any place in India other than the registered office, as the Board of directors of the company may decide. When the Board so decides, the company shall, within seven days of the decision, file a notice in e-Form 23AA electronically with the Registrar of Companies giving the full address of that other place.
The Department has clarified that proper books of account can be kept at a place other than the Registered office of the company if there are compelling reasons for keeping books at such other place.
Shortage of place at registered office of a company may constitute a compelling reason for maintenance of books of account at other place.
“RESOLVED THAT the Books of accounts of the company as prescribed under section 209 of the Companies Act, 1956 be kept at 76, Nadi wali Road, Corporate Area, Modipur, (H.P.) w.e.f. July 24, 2010 and Mr. Roshan Jain, Company Secretary of the Company be and is hereby authorised to submit e-Form 23AA with the MCA/Registrar of companies.
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