BOARD AND GENERAL MEETINGS THROUGH VIDEO CONFERENCING
The Companies Act, 2013 allows convening of Board Meetings through Video conferencing (VC) or any Other Audio-Visual Means (OAVM) and has recently also allowed convening of General Meetings through VC or OAVM in view of the Covid-19 pandemic. This has resulted in ease of convening meetings and has also enhanced participation of Directors and Members respectively. Let us look at the definition of VC or OAVM.
"Video Conferencing or Other Audio-Visual Means" means audio- visual electronic communication facility employed which enables all the persons participating in a meeting to communicate concurrently with each other without an intermediary and to participate effectively in the meeting.
Let us examine the provisions governing conducting of Board Meetings and General Meetings through VC or OAVM.
|Heading||For companies which are required to provide the facility of e-voting under the Act||Other companies (Private Companies and Unlisted Public Companies)|
|EGM||EGM wherever unavoidable may be held through VC or OAVM.
|AGM||AGM – other than ordinary business, only those items of special business which are considered unavoidable may be transacted.
|Eligibility for convening AGM through VC/OAVM||Not Applicable||AGM may be conducted through VC or OAVM if the company has email addresses of atleast half of its members, who
· In case of Nidhi, hold shares of more than Rs.1000 in face value or 1% of total paid-up capital, whichever is less
· In case of other companies having share capital, who represent not less than 75% of such paid-up capital with voting rights
· In case of companies not having share capital, who have right to exercise not less than 75% of total voting power
|Recording||Recorded transcript of the meeting shall be maintained in safe custody by the Company. The same shall also be made available on website in case of a public company
|Convenience||Convenience of different persons positioned in different time zones shall be kept in mind before scheduling the meeting.