# Maintenance & Inspection of Documents in Electronic Form
## Section 120 — Power to Keep Records Electronically
Any document, record, register or minute required to be kept by a company or allowed to be inspected or copied under the Act, may be kept, inspected or copied in electronic form in such manner as may be prescribed.
## Companies that May Maintain Records Electronically [Rule 27(1)]
- Every listed company; or
- A company having at least 1,000 shareholders, debenture-holders and other security holders (in aggregate).
Existing companies: Data may be converted from physical to electronic mode within 6 months from notification of Section 120.
## Conditions for Electronic Records [Rule 27(2)]
The records shall be maintained as the Board thinks fit, provided:
| # | Condition |
|---|---|
| (a) | Same formats and other requirements as under the Act |
| (b) | Adequate recording for future reference |
| (c) | Records readable, retrievable and reproducible in printed form |
| (d) | Capable of being dated and digitally signed wherever required |
| (e) | Once dated and digitally signed — not editable / not alterable |
| (f) | Updatable, with date of every update recorded |
"Records" means any register, index, agreement, memorandum, minutes or any other document required to be kept by a company under the Act/rules.
## Responsibility for Maintenance & Security [Rule 28]
The Managing Director, Company Secretary, or any other director / officer as the Board may decide is responsible. They shall ensure:
1. Protection against unauthorized access, alteration, tampering;
2. Safeguard against loss due to media damage/failure;
3. Non-repudiation by signatory of signed electronic records;
4. Adequate security and validation of computer systems, software, hardware;
5. Computer systems can discern invalid and altered records;
6. Records are accurate, accessible and reproducible;
7. Records retrievable in readable and printable form;
8. Records in non-rewritable, non-erasable format (like PDF);
9. Backups at periodicity not exceeding one day, authenticated and dated, securely kept;
10. Access limited to MD, CS, director, officer or persons authorised by Board;
11. Any reproduction of non-electronic original is complete, authentic, true and legible;
12. Records arranged and indexed for easy location/access/retrieval;
13. Steps to ensure security, integrity and confidentiality.
## Inspection & Copies [Rule 29]
- Records in electronic form shall be made available for inspection in electronic form.
- Copies shall be provided on payment not exceeding ₹10 per page.