Ina Malhotra, Member - (1.) The Petitioner Company was incorporated on 21.07.2016 and has its Registered Office at Unit No. 707, 7th Floor, Kailash Building, 26, Kasturba Gandhi Marg, New Delhi-110006. The applicant is a subsidiary of a U.K. based Holding Company.
(2.) The financial year followed by the principal holding company based in UK is stated to be as per the calendar year, i.e from 1st January to 31st December. Vide the present petition, the applicant prays for permission to follow the same financial year i.e from 1st January to 31st December. The aligning of the applicant's financial year with the parent company would streamline and facilitate the preparation of the consolidated financial Statements.
(3.) The prayer of the petitioner, (being a subsidiary of a company incorporated outside India) , for adopting a different financial year vis-a-vis as mandated under Section 2(41) of the Companies Act, 2013 merits consideration and is permissible under the proviso of the aforesaid section in the circumstances as stated above.;