Hello everyone I will be sharing a short write up of changes in the board report which you need to follow while preparing the board report or director report for the financial year 2021-2022.
MCA wide it’s notification amend the to enhance the disclosures required to be made in the Director report, Ministry of corporate affairs came up with vide notification dated 24th March, 2021 to further amend the .
1st change is related to IBC- which states that company have to made a disclosure in the board report if there are any proceedings of company pending under the Insolvency and Bankruptcy Code,2016 during the year along with the status of IBC application at the end of the financial year.
2nd change is related to OTS i.e One time settlement- It states that if the company is making OTS i.e One time settlement, in the present date with any bank or Financial institution then the company need to disclose in the board report if there is difference between the amount of valuation done at the time of taking the loan and the valuation done at the time of one time settlement.
Above mentioned amendment shall be applicable on Companies for financial year start on or after 01st April 2021 i.e. for financial year 2021-22.