Statutory Report

The directors of the company have to forward a to each member at least 21 days before the day on which the statutory meeting is to be held, is called the Statutory Report. Such report must be certified by not less than three directors, one of whom must be the chief Executive of the company A copy of statutory report must be filed with registrar’s office immediately after forwarding it to the members of the Company.

Contents of Statutory Report:

The main contents of statutory report are as follows:

1. Particulars of the Officers:

The names, addresses and description of the directors, auditors, secretary and manager of the company.

2. List of Arrears:

The arrears, if any due on calls from directors, managing agents and

managers

3.Particulars of Commission:

The particulars of commission or brokerage on shares paid to any person.

4.Receipts and Payment of Company:

An abstract of the receipts and payment of the company made out up to

date within seven days of the date of the report.

5.Particulars of Contract:

The particulars of any other contract the detail of any modification. 6.

6.Detail Share Allotment:

Full detail in respect of total number of shares allotted i.e. fully or partly paid up otherwise in cash.

7.Execution of Underwriting Contract:

The extent to which the underwriting contracts, if any have been carried out.

8.Summary of Cash Received:

Summary of cash received in regard to shares allotted.

9.List of Preliminary Expenses:

Estimate of the preliminary expenses of the company.

10.Underwriting Contract:

The particulars of any underwriting contract, if any.

Resolution

An item of agenda is put before the members of a company in the form of a proposal. The members discuss the item of agenda. When the motion along with amendment if any, is approved by the majority of the members, it becomes a resolution. Resolution thus is a collective decision of the members in a meeting

Types of Resolutions

There are two kinds of resolutions:

1 Ordinary Resolution:

An ordinary resolution is one which is passed by a simple majority of the members entitled to vote such resolution is used for ordinary routine business at

general meeting of the company.

Object:

This resolution is passed for the following purposes

To appoint the directors

To recommend the dividend

To appoint or remove the managing agents

To appoint the auditors and to fix their remuneration.

2. Special Resolution:

This resolution is passed by a majority of not less than three fourth of the members in a General Meeting of the share holders. A notice of 21 days is required for the meeting in which such a resolution is passed

Object of such Resolution:

The following types of business are conducted by special resolution. • To reorganize the share capital of the company.

• To change the name of the company with the permission of the central Government.
• To make investment in associated company
• To reduce the share capital of the company.
• To sanction additional remuneration to managing agents.
• To appoint the inspectors to investigate the company affairs To transfer the registered office of a company from one place to another.
• To initiate winding up by the court. • To sanction payment of interest out of capital during construction.
• To create reserve liability.
• To turn a private company into public company.
• Introduction to Business

Proxy

Proxy may also be accounted if it is allowed by the Articles of Association. Proxy form will be sent by the secretary along with notice of resolution of meeting

Quorum

Quorum means a certain minimum Dfa ho number of members of a company as are competent to transact business in a annual General Meeting of the members in the absence of the other members Any business transacted in a meeting without quorum shall be void.