Section 96 Annual General Meeting
- Annual general meeting (AGM) is an important annual event where members get an opportunity to discuss the activities of the company. Section 96 provides that every company, other than a one person company is required to hold an annual general meeting every year.
- Annual general meeting should be held once every year. First annual general meeting of the company should be held within 9 months from the closing of the first financial year. Hence it shall not be necessary for the company to hold any annual general meeting in the year of its incorporation.
- Subsequent annual general meeting of the company should be held within 6 months from the closing of the financial year. The gap between two annual general meetings should not exceed 15 months.
- According to Section 166 of the Companies Act, the first meeting after incorporation of the company must be held within 18 months. In case, it is not possible for a company to hold an annual general meeting within the prescribed time, the Registrar may, for any special reason, extend the time within which any annual general meeting shall be held. Such extension can be for a period not exceeding 3 months. No such extension of time can be granted by the Registrar for the holding of the first annual general meeting.
Section 98 by Tribunal
- Section 98 provides that if for any reason it is impracticable to call a meeting of a company or to hold or conduct the meeting of the company, the Tribunal may, either suo motu or on the application of any director or member of the company who would be entitled to vote at the meeting.
- Order a meeting of the company to be called, held and conducted in such manner as the Tribunal thinks fit and give such ancillary or consequential directions as the Tribunal thinks expedient, including directions modifying or supplementing in relation to the calling, holding and conducting of the meeting, the operation of the provisions of this Act or articles of the company.
- Such directions may include a direction that one member of the company present in person or by proxy shall be deemed to constitute a meeting. Meeting held pursuant to such order shall be deemed to be a meeting of the company duly called, held and conducted.
Section 100 Extraordinary General Meeting
- All general meetings other than annual general meetings are called extraordinary general meetings. All businesses items can be transacted at the extraordinary general meetings are special business.
- Section 100(1) the board may whenever it deems fit call an extraordinary general meeting of the company.
- Section 100 (2) by Board on Requisition.
Section 186 of the Companies ActCompany Law Board has the power to call an extraordinary general meeting but not an annual general meeting. Shareholders of the company are empowered to convene a meeting within 3 months if it is not convened within 21 days of requisition by the Company Law Board.
Section 177 of the Companies Act, 2013 deals with the Audit Committee.
- It is desirable for the Audit Committee to meet at least 4 times a year. The meetings are preceded by the chairman.