Government amends definition of electronic records

The Notification issued by MCA on amendment in definition of electronic records under

  1. Companies (Registration of Foreign Companies) Amendment Rules, 2021 and
  2. Companies (Specification of definitions details) Third Amendment Rules, 2021:
Notification date05.08.2021
Subject

A. Companies (Registration of Foreign Companies) Amendment Rules, 2021 and

B. Companies (Specification of definitions details) Third Amendment Rules, 2021

Effective dateThey shall come into force  on the date of their publication in the Official Gazette.
ApplicabilityForeign Companies
Brief description

Ministry vide Notification dated 05.08.2021 explained that electronic based offering of securities, subscription thereof or listing of securities in the International Financial Services Centres set up under section 18 of the Special Economic Zones Act, 2005 (28 of 2005) shall not be construed as ‘electronic mode’ for the purpose of clause (42) of section 2 of the Act.”

Government also  notified that any electronic based offering of securities, subscription thereof or listing of securities by a foreign company in the IFSC set up in a SEZ shall not be construed as ‘electronic mode’ for the purposes of definition of ‘Foreign Company’ under the Companies Act, 2013.

Section 2(42) foreign Company

“foreign company” means any company or body corporate incorporated outside India which,—

(a) has a place of business in India whether by itself or through an agent, physically or through   electronic mode; and

(b) conducts any business activity in India in any other manner.

Complete notification attached – 1st

Complete notification attached – 2nd