Provisions introduced as a result of the Covid-19 pandemic that allow companies to hold virtual general meetings and increase examinership periods have been extended, but likely for the final time.
The interim period of the Companies (Miscellaneous Provisions) (Covid-19) Act 2020 has been extended to the end of the year. The act makes temporary amendments to the Companies Act 2014 and the Industrial and Provident Societies Act 1893, ensuring that 240,000 companies and 950 industrial and provident societies in Ireland can hold annual general meetings (AGMs) and general meetings online.
The threshold at which a company is deemed unable to pay its debts remains at €50,000, and the extension of examinership to 150 days remains in place.
Minister for Trade Promotion, Company Regulation and Digital, Robert Troy, said the extension of the provisions would help struggling or recovering businesses.
“I expect that this will likely be the final extension of these temporary provisions. I would stress that the underlying motivation for the further extension of these important measures is very much focused on ensuring that businesses are provided with adequate time to recover from the difficult trading circumstances of the pandemic,” he said.
“While this is likely to be the final extension of these particular measures, work is continuing to put virtual AGMs and general meetings on a permanent statutory footing. Government and I will continue to support Irish businesses across the spectrum of Government activity to ensure that our economy and our businesses prosper.”
Mr Troy said although there was a return to growth in many sectors, caution was warranted as it was difficult to quantify and ascertain the condition of many businesses following the extensive shuttering of large parts of the economy.
