DINESH SAINI (INFORMANT) VS. UOI & ORS (RESPONDENT)

W.P. (C)                     : 9003/2011
Date of Decision   : 23/07/2013
Act Applicable       : The Companies Act, 1956

BRIEF OF FACTS

• According to the informant the decision to extend the accounting year for a period upto three months can be taken by the company before the end of the financial year or at the best before the period by which the financial year is to be extended, expires and not thereafter. 
• On the other hand the Respondent submits that the decision to extend the financial year could be taken by the company even after expiry of the period by which the financial year is sought to be extended and there is no requirement of law that such a decision has to be taken before the expiry of the financial year.

CONCLUSION

It was held that as per the Provisions of Section 210 of the Companies Act, 1956 it would be unrealistic to take a view that, the company must take the decision to extend the financial year, before the financial year or period by which the financial year is sought to be extended. 

DECISION

Writ Petition was dismissed.