under companies rules administration relating voting means electronic through
Section 107 of the Companies Act, 2013 provides for the method of voting at a general meeting of a company. Rule 20 of the Companies (Management and Administration) Rules, 2014 provides for voting through electronic means in certain circumstances.
In case a company opts for voting through electronic means under Rule 20, the shareholders would be able to vote through electronic means only and the company would not be required to provide for a show of hands. This is because the purpose of Rule 20 is to facilitate electronic voting and enable shareholders to exercise their voting rights electronically.
However, it is important to note that the option of voting through electronic means is available only in certain circumstances, such as in case of listed companies or companies having more than 1000 shareholders. Therefore, if a company is not covered by Rule 20, the provisions of Section 107 of the Companies Act, 2013 would apply, and a show of hands would be possible.
Hello Everyone
If the company was incorporated in March 2023 in Canada by an Individual resident of India, due to non-approval of ODI, no remittance is yet made.
Please advise whether that resident individual needs to file his FLA due in July.
Dear All,
If an entity has not received any inward FDI / made overseas investments in the latest FY, do they need to submit the FLA return?
return
Hello Professional
Is a Section 8 company required to seek permission from Central
Government (“RD”) for alteration of its articles of association
prior to getting the same approved by the members by means of
special resolution in the general meeting?
government alteration articles association central permission company required seek section
Hello Professionals
What do you mean by ‘Companies with charitable purpose’ (Section 8) under the Companies Act, 2013? What are the conditions for the issue & revocation of the license of such a company by the Government?
companies license revocation such company government issue purpose charitable
Hello Professionals
In the case of an overseas subscriber and director, is the documents required to be notarised and apostilled for incorporation of a company?
notarised apostilled incorporation company required documents overseas subscriber director case
Hello Professionals
What are the minutes of a board meeting, and how should they be maintained?
Hello Professionals
In the case of an overseas subscriber and director, are the documents required to be notarised and apostilled for incorporation of a company?
notarized apostilled incorporation company required documents overseas subscriber director case
Hello Professionals
In terms of Section 73 of the Companies Act, 2013 read with Rule 2(1)(c)(vii) of Companies (Terms and conditions of acceptance of Deposit) Rules, 2014, deposits do not include receipt of money from Director of the Company, but the money received from a member is treated as a deposit. In case the deposit is taken from a person who is both a director and a member of the Company, will such receipt of money be treated as a deposit or not?
Hi Mahima
Section 107 relating to voting by show of hands provides that at any general meeting, a resolution put to the vote of the meeting shall, unless a poll is demanded under section 109 or the voting is carried out electronically, be decided on show of hands. For all the transactions put to vote by electronic means by such companies, the provisions of section 107 become ineffective.
According to rule 20(1) of Companies (Management and Administration) Rules, 2014, every listed company or a company having not less than one thousand shareholders, shall provide to its members facility to exercise their right to vote at general meetings by electronic means. Also, it has been clarified by the MCA vide General Circular 20/2014 dated 17th June, 2014 that voting by show of hands under section 107 would not be allowable in cases where rule 20 of Companies (Management and Administration) Rules, 2014 is applicable.
Note: Referring to General Circular 20/2014 dated 17th June, 2014 the MCA while considering the some practical difficulties in respect of voting through electronic means and conduct of general meetings, decided not to treat the relevant provisions of Section 108 of the Companies Act, 2013 read with rule 20 of the Companies (Management and Administration) Rules, 2Ol4 dealing with the exercise of right to vote by members by electronic means (e-means) as mandatory till 31st December, 2O14.
Hope this helps you!