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Agm without audited balance sheet

21 May 2019

I am Shareholder of Private Limited company having 3 directors and few shareholder.

The company called an AGM without audited balance sheet and director's report.The day before AGM the director's changed the agenda of the meeting.

In the AGM the director's only discussed about future business plan.I am interested to know is this a legally acceptable AGM ?

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5 Replies

Giridhar S Karandikar (Team Lead) (7543 Points)
Replied 21 May 2019

no not acceptable because at the AGM audited account needs to be adopted by the shareholders

2 Like

Shrikant (Associate) (350 Points)
Replied 24 May 2019

They cannot change the date, place, time, etc of the AGM without intimating the shareholders and also revised details should be given to the shareholders. In the duly held AGM, accounts of the company should get approved. If the accounts does not get approved then the AGM is get adjourned and will held again.

Shivam RC (Student) (23683 Points)
Replied 08 June 2019

Agree with Shrikant Sir's view....

One of the ordinary business to be transacted in AGM is to approve the Audited Annual Financial Statements and Board Report.

Punarbasu Bhattacharya (3 Points)
Replied 08 June 2019

If the director's are not agreeing, what may be the next course of action.

Shrikant (Associate) (350 Points)
Replied 10 June 2019

Since AGM is meetion of shareholders and they have idea about the AGM. If members does not receive any notice and agenda about AGM, then such AGM will be invalid.