QUORUM FOR MEETINGS-Complete Overview
(1) Unless the articles
of the company provide for a larger number,—
(a) in case of a public company,—
 (i) five
members personally present if the number of members as on the date of meeting
is not more than one thousand; |
(ii) fifteen
members personally present if the number of members as on the date of meeting
is more than one thousand but up to five thousand;
|
(iii) thirty
members personally present if the number of members as on the date of the
meeting exceeds five thousand;
|
(b) in the case of a private company, two members personally
present, shall be the quorum for a meeting of the company.
(2) If the quorum is not
present within half-an-hour from the time appointed for holding a meeting of
the company—
(a) the meeting
shall stand adjourned to the same day in the next week at the same time and
place, or to such other date and such other time and place as the Board may
determine; or
|
Provided that in case of
an adjourned meeting or of a change of day, time or place of meeting under
clause (a), the company shall give not less than three day’s notice to
the members either individually or by publishing an advertisement in the
newspapers (one in English and one in vernacular language) which is in
circulation at the place where the registered office of the company is
situated.
(3) If at the adjourned
meeting also, a quorum is not present within half-an-hour from the time
appointed for holding meeting, the members present shall be the quorum.
COMMENT:
Calling of Extraordinary General Meeting.
The Board
may, whenever it deems fit, call an extraordinary general meeting of the
company.
COMMENT: an extraordinary general meeting of the
company, other than of the wholly owned subsidiary of a company incorporated
outside India, shall be held at a place within India.
(2) The
Board shall, at the requisition made by—
(a) in the
case of a company having a share capital, such number of members who hold, on
the date of the receipt of the requisition, not less than 1/10 of such of the
paid-up share capital of the company as on that date carries the right of
voting;
(b) in the
case of a company not having a share capital, such number of members who have,
on the date of receipt of the requisition, not less than 1/10 of the total
voting power of all the members having on the said date a right to vote, call
an extraordinary general meeting of the company within the period specified in
sub-section (4).
(3) The
requisition made under sub-section (2) shall set out the matters for the
consideration of which the meeting is to be called and shall be signed by the
requisitionists and sent to the registered office of the company.
(4) If the
Board does not, within twenty-one days from the date of receipt of a valid
requisition in regard to any matter, proceed to call a meeting for the
consideration of that matter on a day not later than forty-five days from the
date of receipt of such requisition, the meeting may be called and held by the
requisitonists themselves within a period of three months from the date of the
requisition.
(5) A
meeting under sub-section (4) by the requisitionists shall be called and held
in the same manner in which the meeting is called and held by the Board.
*(6) Any reasonable
expenses incurred by the requisitionists in calling a meeting under sub-section
(4) shall be reimbursed to the requisitionists by the company and the sums so
paid shall be deducted from any fee or other remuneration under section 197
payable to such of the directors who were in default in calling the meeting.
Requisitionists Expenditure in calling meeting Company
DISCLAIMER: THE
ARTICLE IS BASED ON THE RELEVANT PROVISIONS AND AS PER THE INFORMATION EXISTING
AT THE TIME OF THE PREPARATION. IN NO EVENT I SHALL BE LIABLE FOR ANY DIRECT
AND INDIRECT RESULT FROM THIS ARTICLE. THIS IS ONLY A KNOWLEDGE SHARING
INITIATIVE.
THE AUTHOR
– CS DEEPAK SETH (ASSOCIATE PARTNER HELPINGHANDS PROFESSIONALS LLP) AND
CAN BE REACHED AT CONTACTHHPRO@GMAIL.COM OR 9910248911.
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