Suppose a board meeting was held today i.e. 24.02.2014 and an EGM was called on 24.03.2014 (28 days from EGM). The notice of EGM was signed on 24.02.2014 but due to some reasons, the notice could be posted by speed post to the shareholders on 01.03.2014 (23 days from EGM). Will the notice be valid, keeping in mind 21 clear days notice is required?
Please also tell, what if the company manages to dispatch the speed post on 28.02.2014?
21 clear days mean 21 days + 2 days for post + 2 days (this is day of board meeting and day of egm). In your case even if notice is dispatched on 1st March, it fulfills the criteria of 23 days excluding day of BM and day of EGM. So notice is valid.
Gupta Sachdeva & Co. Chartered Accountants
New Delhi
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