Hello all Experts and Professionals on CCI,
I need a favour from all of You.. Please let me know the meaning of sec 174(2) of Companies Act 2013 i.e.
"The continuing directors may act notwithstanding any vacancy in the Board; but,
if and so long as their number is reduced below the quorum fixed by the Act for a meeting of
the Board, the continuing directors or director may act for the purpose of increasing the
number of directors to that fixed for the quorum, or of summoning a general meeting of the
company and for no other purpose."
I think It means that once board meeting starts. If director who present at meeting go and do not participate in the meeting even then meeting will continue unless directors presented in meeting is less than quorum.
I am confused on this line
"the continuing directors or director may act for the purpose of increasing the
number of directors to that fixed for the quorum, or of summoning a general meeting of the
company and for no other purpose."
what does it mean..
I am waiting for your smart reply from smart people
CAclubindia
