Chapter VII - Management and Administration
Section 120
Section 120: keeping and inspecting company records electronically
Section 120 allows companies to keep their statutory records electronically. Any document, record, register or minutes that a company must keep, or must allow to be inspected or copied, may be kept, inspected or supplied in electronic form.
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This article is for general information. Refer to the Companies Act, 2013 official text for the official provisions. If you need professional advice for your situation, contact Bizeneed.
Statutory text
Bare law
Without prejudice to any other provisions of this Act, any document, record, register, minutes, etc.,—(a) required to be kept by a company; or (b) allowed to be inspected or copies to be given to any person by a company under this Act, may be kept or inspected or copies given, as the case may be, in electronic form in such form and manner as may be prescribed.
Introduction
The form and manner of electronic maintenance are prescribed by rules. The section applies without prejudice to the other provisions of the Act, so the underlying duty to keep each record is unchanged.
Section 120 commenced on 1 April 2014 under S.O. 902(E). The India Code consolidated text shows no amendment, and the text is identical to the Act as published in 2013.
Key takeaways
Electronic records allowed
Documents, records, registers and minutes required to be kept by a company may be kept in electronic form.
Inspection and copies too
Records that may be inspected, or of which copies must be given, may be inspected or supplied electronically.
Prescribed form and manner
Electronic maintenance must follow the form and manner prescribed by rules.
What section 120 allows
Without prejudice to any other provision of the Act, any document, record, register, minutes and the like (a) required to be kept by a company, or (b) allowed to be inspected, or of which copies are to be given to any person by a company under the Act, may be kept or inspected, or copies given, in electronic form, in such form and manner as may be prescribed.
What stays the same
Section 120 changes the medium, not the duty. The company must still keep each record, give access and supply copies as the relevant section requires, for example section 88 for registers of members, section 118 for minutes and section 119 for inspection of general meeting minutes. The detailed rules on electronic maintenance are not reproduced in this guide; check the current rules.
Practical preparation
Decide which records will be kept electronically; follow the prescribed form and manner; control access and keep backups; make sure electronic records can be inspected and copied within the time limits of the relevant sections; keep a record of any changes.
Practical checklist
Do
- Use secure systems with access controls and regular backups.
- Check the current rules on electronic maintenance before switching from paper.
Avoid
- Do not let electronic storage delay inspection or copies required by the Act.
Illustrative example
Hypothetical: moving minutes and registers online
A growing company wants to replace paper registers and minute books with a secure electronic system.
Check rules
The company checks the prescribed form and manner for electronic records.
Migrate
It moves the registers and minutes to the system with access controls and backups.
Access
Members’ inspection requests are met through the electronic records within the time limits of the Act.
Outcome
- The company keeps its records electronically while meeting the same statutory duties.
Glossary
- Electronic form
- Information generated, sent, received or stored in electronic media.
- Statutory records
- Registers, minutes and other documents a company must keep under the Act.
Frequently asked questions
Can a company keep its register of members only electronically?
Section 120 allows registers required to be kept by a company to be kept in electronic form, in the prescribed form and manner.
Does electronic storage change inspection rights?
No. Section 120 applies without prejudice to the other provisions of the Act, so inspection and copy rights continue, and may be met electronically.
Need help applying this provision to your situation?
Contact BizeneedLast updated 11 October 2026