Articled assistant & CA final
117 Points
Joined August 2010
| Originally posted by : Charu Srivastava |
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if default is made in holding a meeting of the company in accordance with section 166 the company, and every officer of the company who is in default, shall be punishable with fine which may extend to [fifty thousand rupees] [and in the case of a continuing default, with a further fine which may extend to [two thousand five hundred rupees] for every day after the first during which such default continues].
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If company fails to Hold Annual General Meeting, then what Charu Srivastava saying is Apllicable...
But as per Sec.172 of Company Act, If company INTENTIONALLY fails to serve AGM notice to its one or more of Shareholders, then It Invalidates the Proceedings of the AGM. And If company ACCIDENTALLY fails to serve AGM notice to its one or more of Shareholders, then It doesn't Invalidates the Proceedings of the AGM...
In above case, as it is inadvertently forgotted to serve notice, it doesn't invalidate the meeting... Provided the Company Secretary or Board must acknowledge that it is unintentional...