The government today allowed companies to hold annual general meetings through video conferencing, with a view to provide larger participation and for curbing costs, borne by the shareholders to attend AGMs.

Accordingly, a company would have to send a notice informing shareholders about "the availability of participation through video conference, and provide necessary information to enable shareholders to access the available facility of videoconferencing", the Corporate Affairs Ministry said in a notification.

This is a part of the MCA's Green Initiative Campaign for Corporate Governance.

Video conference facility enables all persons participating in a meeting to communicate concurrently with each other without an intermediary, and to participate effectively in the meeting. (PTI)