CS in Practice cannot Certify more than 75 Annual Returns in form MGT 7: ICSI

As per the new norms introduced by the Institute of Company Secretaries of India ( ICSI ), a Company Secretary ( CS ) in practice will be restricted from certifying more than 75 annual returns in Form MGT-7, effective April 1, 2025.

In its 312th meeting held on October 8-9, 2024, the Council introduced this cap on signing E-form MGT-7 to better regulate practice limits.

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The ceiling is outlined as follows:

- A CS in practice may sign annual returns under Section 92(1) of the Companies Act, 2013, for a maximum of 75 companies per financial year.

- A Peer-Reviewed CS in practice may certify annual returns for up to 125 companies per financial year.

This regulation will take effect for the financial year beginning April 1, 2025.

Additionally, since it is mandatory to generate a Unique Document Identification Number (UDIN) for signing E-form MGT-7 under the ICSI UDIN Guidelines, 2019, necessary changes will be implemented in the UDIN portal for seamless compliance.

It has come to the Council’s attention that incorrect details are often used when generating UDIN, particularly when the wrong document type is selected from the pre-filled drop-down menu. Such inaccuracies undermine the intent of the guidelines and may result in violations that the Institute takes seriously.

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Practicing Company Secretaries are therefore advised to strictly adhere to the UDIN Guidelines and avoid any infractions under the Company Secretaries Act, 1980.

To Read the full text of the Order CLICK HERE

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