MCA mandates all Companies to report data on sexual harassment complaints

On 30-5-2025, the Ministry of Corporate Affairs notified the Companies (Accounts) Second Amendment Rules, 2025 to amend the Companies (Accounts) Rules, 2014 aiming to enhance corporate transparency and digital compliance. The provisions will come into force on 14-7-2025.

Key Points:

1. The information and details that has to be included in Board’s report, according to Rule 8 relating to “Matters to be included in Board’s report”, has been revised and the following details have been added:
   • number of complaints of sexual harassment received in the year;
   • number of complaints disposed of during the year;
   • number of cases pending for more than ninety days;
   • A statement by the company regarding compliance with provisions relating to the Maternity Benefit Act, 1961.
2. Rule 12 relating to “Filing of financial statements and fees to be paid” has been revised and some new provisions have been inserted:
   • Now, the companies will also have to file:

     ✓ e-Form Extract of Board Report;

     ✓ Extract of Auditor’s Report (Standalone);

     ✓ Extract of Auditor’s Report (Consolidated).

   • A copy of signed financial statements should also be attached with eXtensible Business Reporting Language (‘XBRL’) Forms, in portable document format.
3. This amendment also revises the following forms:
   • AOC- 1 relating to “Statement containing salient features of the financial statement of Subsidiaries/ associate companies/ joint ventures”;
   • AOC- 2 relating to “Form for disclosure of particulars of contracts/arrangements entered into by the company with related parties referred to in sub-section (1) of section 188 of the Companies Act, 2013 including certain arms length transactions under fourth proviso thereto”;
   • AOC- 4 relating to “Form for filing financial statement and other documents with the Registrar”;
   • AOC- 4 CFS relating to “Form for filing consolidated financial statements and other documents with the Registrar”:
   • AOC- 4 NBFC (Ind AS) relating to “Form for filing financial statement and other documents with the Registrar”;
   • AOC- 4 CFS NBFC (Ind AS) relating to “Form for filing consolidated financial statements and other documents with the Registrar”;
   • CSR- 2 relating to “Reporting on Corporate Social Responsibility (CSR)”.