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Deadlock in management

Meetings 2829 views 1 replies

reshma

Student

52 Points Joined June 2010

Dear all

I have a situation at hand for which m looking for a solution

There is a public govt company in which there are even number of directors who are equally divided on every issue thereby preventing the management from passing any resoution or reachin a decision. How to resolve this deadlock at the Board itself without calling EGM/AGM.(none of the Board menbers hold more than 1/10th shares/voting rights)

Moreover, if the first item of the Board is removal of the existing Chairman, who will Chair the item? Technically how will the new appointment happen?

I see an even number as the result every time, hence no possibility of passing the resolution.

Kindly share your valid views on this.

Regards

Resh

Replies (1)

Nidhi Jain

987 Points Joined October 2010

CAN U CLEAR HOW MANY MEMBERS IN BOARD?

I THINK HOWEVERE THERE IS NO PROVISION RELATING TO CASTING VOTE AT BOARD MEETING BUT TO TACKLE THIS TYPE SITUATION HE CAN DO SO. SOLUTION OF THIS TYPE PROBLEM WE CAN FIND FROM THE CONCERNED CO. 'S AoA

ANOTHER SUPPOSE IF U HAVE EVEN NO. OF MEMBERS AND WANT TO PASS RESOLUTION 4 REMOVAL OF DIRECTORS \ CHAIRMAN U CAN DO SO BECAUSE IN THIS MATTER CHAIRMAN IS A INTERESTED MEMBER AND HIS/HER OPINION SHALL NOT BE COUNT