{"id":10335,"date":"2020-06-08T14:33:30","date_gmt":"2020-06-08T09:03:30","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=10335"},"modified":"2020-11-18T17:46:47","modified_gmt":"2020-11-18T12:16:47","slug":"demand-for-poll-under-companies-act-2013","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/demand-for-poll-under-companies-act-2013\/","title":{"rendered":"Demand for Poll under Companies Act 2013: An Overall Regime"},"content":{"rendered":"\n<p class=\"has-drop-cap\">In consonance with Legislative experiences on Demand for Poll, Clause 109 pursues to deliver on a declaration of result of voting on any perseverance by a &#8216;show of hands.&#8217; Chairman of the Meeting on his own or demand made identified by members order for a poll corresponds to &#8216;sections 179, 180, 184 and 185&#8217; of the <strong>Companies Act, 1956 (now 2013)<\/strong><sup><a href=\"https:\/\/en.wikipedia.org\/wiki\/Companies_Act_2013\"><strong>[1]<\/strong><\/a><\/sup>.&nbsp;  <\/p>\n\n\n\n<p>This clause additionally provides that the <strong>persons who made the demandmay withdraw the unchanged demand\/request<\/strong>. With this, the chairman of the Meeting shall appoint a scrutinizer for observing votes given on poll and report thereon and the poll process. Moreover, the conference&#8217;s decision on the resolution deemed to be the outcome of the poll. The chairman will control how the poll shall get occupied.&#8221; <\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" width=\"576\" height=\"387\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-41.png\" alt=\"Demand for Poll under Companies\" class=\"wp-image-10336\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-41.png 576w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-41-300x202.png 300w\" sizes=\"(max-width: 576px) 100vw, 576px\" \/><\/figure><\/div>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/demand-for-poll-under-companies-act-2013\/#What_do_you_mean_by_Demand_for_Poll_and_withdrawal_for_the_same\" >What do you mean by Demand for Poll and withdrawal for the same?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/demand-for-poll-under-companies-act-2013\/#What_are_the_Three_Objects_for_which_the_poll_may_demand_at_the_Meeting_of_Company\" >What are the Three Objects for\nwhich the poll may demand at the Meeting of Company?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/demand-for-poll-under-companies-act-2013\/#What_meant_for_Timings_of_conducting_the_poll\" >What meant for Timings of\nconducting the poll?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/demand-for-poll-under-companies-act-2013\/#What_is_Appointment_of_scrutinizers_at_the_Meeting_of_Company\" >What is Appointment of\nscrutinizers at the Meeting of Company?&nbsp;&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/demand-for-poll-under-companies-act-2013\/#What_are_the_Powers_of_Chairman_to_regulate_the_manner_of_Meeting\" >What are the Powers of Chairman\nto regulate the manner of Meeting?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/demand-for-poll-under-companies-act-2013\/#What_are_the_Powers_of_the_scrutinizers_on_demands_for_polls\" >What are the Powers of the\nscrutinizers on demands for polls?&nbsp;&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/corpbiz.io\/learning\/demand-for-poll-under-companies-act-2013\/#What_is_the_Procedure_required_while_Demand_on_Poll\" >What is the Procedure required\nwhile Demand on Poll?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/corpbiz.io\/learning\/demand-for-poll-under-companies-act-2013\/#What_is_the_issues_on_the_result_of_the_poll_after_the_process\" >What is the issue&#8217;s on the\nresult of the poll after the process?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/corpbiz.io\/learning\/demand-for-poll-under-companies-act-2013\/#What_are_the_Provisions_not_Pertinent_in_case_of_Electronic_Voting\" >What are the Provisions not Pertinent in case of Electronic Voting?\u00a0\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/corpbiz.io\/learning\/demand-for-poll-under-companies-act-2013\/#What_is_the_relevance_of_the_section_to_private_company\" >What is the relevance of the\nsection to private company?&nbsp;&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/corpbiz.io\/learning\/demand-for-poll-under-companies-act-2013\/#What_is_the_nature_of_Punishment_in_Contraventions_Multifaceted\" >What is the nature of\nPunishment in Contraventions? Multifaceted<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/corpbiz.io\/learning\/demand-for-poll-under-companies-act-2013\/#What_are_the_Documents_required_while_Demand_on_Poll\" >What are the Documents required while Demand on Poll?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/corpbiz.io\/learning\/demand-for-poll-under-companies-act-2013\/#What_MCS_had_come_up_amid_COVID-19_outbreak_concerning_Demand_for_Poll\" >What MCS had come up amid\nCOVID-19 outbreak concerning Demand for Poll?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/corpbiz.io\/learning\/demand-for-poll-under-companies-act-2013\/#Conclusion\" >Conclusion&nbsp;<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_do_you_mean_by_Demand_for_Poll_and_withdrawal_for_the_same\"><\/span>What do you mean by Demand for Poll and withdrawal for the same?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Considering Demand for Poll, the sub-section (1) of section 109\nseeks to provide Chairman of the Meeting might on his own or shall on demand\nfor a poll made by specified member&#8217;s order, on any resolution by a &#8216;show of\nhands&#8217; before or on a declaration of result of the voting.<\/p>\n\n\n\n<p>Moreover, when it gets <strong>exercised\n\u2018suo motu,\u2019 then such power to order poll is meant to be\ndiscretionary\/unrestricted.<\/strong> When the specified number makes the demand of\nmembers, this decision gets intended to be taken away or completed.&nbsp; <\/p>\n\n\n\n<p><strong>There are the considered numbers of members obligatory to make a demand for the poll, which are as follows:-<\/strong><\/p>\n\n\n\n<ul><li>In matters where a <a href=\"https:\/\/corpbiz.io\/company-registration\"><strong>registered company<\/strong><\/a> having a share capital, by the members attended in person or by proxy, where permitted, and having not <strong>less than 1\/10 of the entire voting<\/strong> power or holding shares on which a cumulative sum of <strong>not less than 5 lakh<\/strong> rupees or such advanced\/more considerable amount as may be prearranged has been      paid-up\/compensated;<\/li><li>In matters where other companies by any member or members attended in person or by proxy, where permitted, and having not less than 1\/10 of the entire voting power\u00a0 \u00a0 <\/li><\/ul>\n\n\n\n<p>From now, a demand for a poll may be completed by a proxy also.\nAdditionally, demand for the <strong>poll can be\nmade by a single member holding required voting power or shares<\/strong> on which\nshares in the paid-up share capital of the company as prescribed\/specified\nabove or required amount is paid up who is holding voting power.&nbsp;&nbsp;&nbsp; <\/p>\n\n\n\n<p>Any demand for poll may be withdrawn by the persons who made the\ndemand, provided under sub-section (2) of the Act. Other than the business for\nwhich a poll (as demanded) is incomplete, it may be expected that any business\ncan be sustained without coming up with such business of poll demanded results.<\/p>\n\n\n\n<p>As delivered in section 47, sub-section 1clause (b), it can say that the voting rights of a member on <strong>poll are in proportion\/fraction to his share of the company in the paid-up equity capital<\/strong> of the same. On the other hand, this provision is subject to section 43 and sub-section (2) of section 50 of the Act.&nbsp;&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_the_Three_Objects_for_which_the_poll_may_demand_at_the_Meeting_of_Company\"><\/span>What are the Three Objects for\nwhich the poll may demand at the Meeting of Company?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul><li>Aimed at <strong>Appointment of Chairman<\/strong>, which should take place instantly to have chairman nominated for meeting to continue.<\/li><li>Aimed at the <strong>adjournment of the Meeting<\/strong>, numerous polls are demanded by the members or proxies who must also take place immediately to know whether to adjourn or precede Meeting.&nbsp;<\/li><li>Aimed at <strong>passing any other resolution<\/strong>, many polls are demanded by the proxies or members.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_meant_for_Timings_of_conducting_the_poll\"><\/span>What meant for Timings of\nconducting the poll?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Whenever Appointment of Chairman of the Meeting or a poll is\ndemanded adjournment of the Meeting, the <strong>poll\nshall be taken immediately<\/strong>. It shall be taken within <strong>48 hours<\/strong> of the demand for poll as the chairman may direct it if it\nconcerns or any other query.&nbsp;&nbsp; <\/p>\n\n\n\n<p>According to the Secretarial Standard-2 para 9.2, it provides that the <strong>chairman shall inform the members if the venue, time, and date<\/strong> of taking the poll cannot be publicized at the Meeting. Moreover, the time and the modes of such communication must be within 24 hours of closure of the Meeting in any case.&nbsp;&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Case: &#8211; Jackson v. Hamlyn [(1953) 1 All ER 887; 2 WLR 709\n(1953)]<\/h3>\n\n\n\n<p> It was apprehended that the word \u2018i<strong>mmediately<\/strong>\u2019 meant as soon as possible wherever the articles of association provided conditions for a poll to be taken \u201c<strong>immediately<\/strong>.&#8221; In such cases, a member can participate and vote in the poll, which did not attend the Meeting. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_Appointment_of_scrutinizers_at_the_Meeting_of_Company\"><\/span>What is Appointment of\nscrutinizers at the Meeting of Company?&nbsp;&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>For observing the votes given on poll, poll process, and report\nthereon, the chairman of the Meeting shall appoint a scrutinizer for the\ncompany at Meeting. The result of the poll will consider the decision of the\nMeeting, which is depending on resolution. Moreover, the chairman shall control\nthe manner in which poll shall be occupied.<\/p>\n\n\n\n<p>According to the Secretarial Standard-2 para 9.4, it provides that the scrutinizer (s) may be:-&nbsp;<\/p>\n\n\n\n<ul><li>Practicing Company Secretary,<\/li><li>Practicing Chartered accountant,&nbsp;<\/li><li>Practicing Cost accountant, or&nbsp;<\/li><li>Practicing advocate&nbsp;<\/li><li>Or any other person of reputation who is not in the service of the company, besides;&nbsp;<\/li><li>Who can, in the view of the board, scrutinize the e-voting procedure or the ballot procedure, as the case may be, in a fair-minded and clear as crystal.<\/li><\/ul>\n\n\n\n<p>Who is not in engagement\/service of the company, such\nscrutinizer may take support of a person. Moreover, the condition says that\nsuch a member is available and willing to be appointed, at least one of the\nscrutinizers intend to be a member is present at the Meeting of company.<\/p>\n\n\n\n<p>Any vote by-poll will be put to the vote distinctly considering in each resolution put to. According to the &#8216;Secretarial Standard- 2 in paragraph 9.3&#8217;, <strong>one ballot paper possibly will be utilized for more than one item only.<\/strong><\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Case Law: &#8211; Anthony V. Seger\n(1789) Hagg Cons Annulled R. V. Cooper, (1870) LR 5 QB 457<\/h3>\n\n\n\n<ul><li>Conferring to the\ncase mentioned, <strong>if a valid demand for a\npoll has been received the result of voting by &#8216;show of hands,&#8217; it ensures no\neffect and becomes immaterial<\/strong>. According to the subsection (2), it gives\nthe above-said facility that those who offered the demand might withdraw it at\nany instant. For that reason, previous passing of the resolution on show of\nhands with the effect of withdrawal also converts invalid.<\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Case Law: &#8211; M. K. Srinivasan\nand Others v. W. S. Subrahmanya Ayyar and Others Cas. 147 (1932) 2 Comp.<\/h3>\n\n\n\n<ul><li>Even if the\nchairman had refused to grant the poll, <strong>a\npoll, when validly demanded, should be taken into consideration<\/strong>. As a\nresult, the Meeting shall either a new Meeting convened to hold the poll or\nre-convened to consider. Moreover, the item should be in respect of which the\nvalid demand for poll was not granted if a valid demand for poll is refused, as\nthe case may be by the chairman.<\/li><li>This case also\ndepicts the fact that one ballot paper may be utilized for more than one item\nat the Meeting. <strong>The result publicized\nwill indicate the number of votes cast in \u2018favor\u2019 of &amp; \u2018against\u2019 each\nResolution<\/strong>, and each Resolution on which a poll is demanded should be put\nto the vote distinctly. However, to be separately marked by the voters, all the\nResolutions may be included on one sheet of paper. Also, each of the items and\nresolution shall deal with a single item of commercial activity.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_the_Powers_of_Chairman_to_regulate_the_manner_of_Meeting\"><\/span>What are the Powers of Chairman\nto regulate the manner of Meeting?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Chairman has powers to regulate how poll is to be taken under <strong>Sub-section (6) of section 109<\/strong>. Concerning the same, this power is subject to other provisions in the section. According to the Secretarial Standard-2 per para 9.2, he has powers to <strong>permit any member to appear during counting of votes in the Meeting<\/strong>.&nbsp;&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_the_Powers_of_the_scrutinizers_on_demands_for_polls\"><\/span>What are the Powers of the\nscrutinizers on demands for polls?&nbsp;&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The chairman&#8217;s responsibility is to ensure that the <strong>scrutinizers intend to be provided with the register of members, attendance, specimen signatures, &#8216;proxy and representation documents,&#8217; and &#8216;register and register of proxies<\/strong>.&#8217; The Scrutinisers shall assemble for polling papers in form <strong>MGT-12<\/strong> only. The empty polling boxes will get sealed in presence of members, and proxies which are to be unlocked in presence of two witnesses only after voting process.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_the_Procedure_required_while_Demand_on_Poll\"><\/span>What is the Procedure required\nwhile Demand on Poll?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul><li>The scrutinizer\nshall deal out with the polling paper to the members &amp; proxies and apply a\ncombination lock on empty box while they are present in the room.<\/li><li>Subsequently,\nafter voting, scrutinizer will open the box in existence of at least 2\nwitnesses.<\/li><li>Scrutinizer shall\ncount the votes and check the subsequent things.<\/li><\/ul>\n\n\n\n<p><strong>Those are as follows:-<\/strong><\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" width=\"653\" height=\"460\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-42.png\" alt=\"Procedure required while Demand on Poll\" class=\"wp-image-10337\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-42.png 653w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-42-300x211.png 300w\" sizes=\"(max-width: 653px) 100vw, 653px\" \/><\/figure><\/div>\n\n\n\n<p>It should be guaranteed that members who have voted electronically or ballot papers <strong>under 35B (2)<\/strong> of registered agreement are not exercising their voting right another time at the company&#8217;s General Meeting. <\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/right-to-inspect-by-members-of-the-company\/\">Right to Inspect by Members of the Company\n<\/a><\/mark><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_the_issues_on_the_result_of_the_poll_after_the_process\"><\/span>What is the issue&#8217;s on the\nresult of the poll after the process?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul><li>Considering the\nresolution on which the poll was taken, in that case, the result of the poll\nshall be considered to be the decision of the Meeting only<strong>. Within seven days of poll, the scrutinizer shall submit the report to\nthe chairman in form MGT-13 as required<\/strong>.&nbsp;<\/li><li>The chairman will\ndeclare the result of the poll <strong>within\ntwo days<\/strong> of the submission of report by the scrutinizer, which will include\nwith details of invalid votes, the number of votes cast for and against the\nresolution, and whether the resolution has been actually carried out or\ndidn&#8217;t.&nbsp;&nbsp; <\/li><li>The scrutinizers\nwill submit the report to the chairman only. However, chairman is the person\nwho shall <strong>counter-sign the same<\/strong> or\nin his nonappearance or any other authorized manager\/director. The result shall\nbe publicized in writing for this purpose by the chairman or any other person\nauthorized by the chairman only.&nbsp;&nbsp; <\/li><li>All results of\nthe poll using details of invalid votes, the number of votes cast, and whether\nthe resolution has been approved or not, will be <strong>exhibited on the notice board of the company<\/strong>. Those may include its\nhead office, including corporate offices and its registered office also. If in\ncase those offices are situated somewhere else, and in case of public companies\nhaving a website, shall also be <strong>engaged\non the<\/strong> <strong>website of the\ncompany.&nbsp;&nbsp;<\/strong><\/li><li>The results acknowledged along with the <strong>scrutinizer&#8217;s report must be placed on the website of the company<\/strong> and on the website of the agency surrounded by within two days of passing of the resolution at the pertinent <strong>general Meeting of associates<\/strong> of the company. Moreover, in case of public companies, result shall also be shown on the website of the company also.  <\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_the_Provisions_not_Pertinent_in_case_of_Electronic_Voting\"><\/span>What are the Provisions not Pertinent in case of Electronic Voting?\u00a0\u00a0<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>According to the <strong>general &#8216;Circular no 20\/2014&#8217;<\/strong>, it provides that the provisions relating to demand for poll are not pertinent for the companies which are providing voting done over electronic means <strong>(under section 108 read with rule 20).<\/strong> This explanation is issued as both at poll and at voting through electronic means keep an eye on the proportion principle essentially.&nbsp;&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_the_relevance_of_the_section_to_private_company\"><\/span>What is the relevance of the\nsection to private company?&nbsp;&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Except the articles of association provide otherwise, this section relates to a private company too. Moreover, this exemption was assumed by the &#8216;<strong>notification no. G.S.R. 464 (E) dated 05.06.2015&#8242;<\/strong>&nbsp;stating that the articles of the private company may make its own regulations and eliminate the applicability of this section as per requirement.&nbsp;&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_the_nature_of_Punishment_in_Contraventions_Multifaceted\"><\/span>What is the nature of\nPunishment in Contraventions? Multifaceted<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\">Infringement as per Sections<\/h3>\n\n\n\n<p>This section does not recommend any penal provision for\ncontravention of the section. Henceforth<strong>,\nsection 450 <\/strong>of the Act will be appropriate. In view of that, the punishment\nfor infringement, the company, and every offer of the company who is in default\nmust be <strong>punishable with a fine up to Rs.\n10,000<\/strong>. If the contravention is an on-going one, then the fine shall be\nRs.1, 000 for every day of such infringement.&nbsp;&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Infringement as per Rules<\/h3>\n\n\n\n<p><strong>According to rule\n30 of Companies (Management and Administration) Rules, 2014<\/strong>, the contravention of rules made under this section. With this,\nthe company and every officer of the company in default are carrying a\npunishment and a fine up to <strong>Rs. Five\nThousand, where the contravention is a continuing one, then the fine shall be\nRs. 500 for every day of infringement<\/strong>. The crimes committed under this\nsection and rules are multi-facetted under section 441, as stated above.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_the_Documents_required_while_Demand_on_Poll\"><\/span>What are the Documents required while Demand on Poll?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" width=\"668\" height=\"435\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-43.png\" alt=\"Documents required while Demand on Poll\" class=\"wp-image-10338\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-43.png 668w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-43-300x195.png 300w\" sizes=\"(max-width: 668px) 100vw, 668px\" \/><\/figure><\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_MCS_had_come_up_amid_COVID-19_outbreak_concerning_Demand_for_Poll\"><\/span>What MCS had come up amid\nCOVID-19 outbreak concerning Demand for Poll?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>During the predominant time of COVID \u2013 19 pandemic and\nconsequent government lockdown in India, the MCA (Ministry of Corporate\nAffairs) has been playing a vigorous role in applying numerous relaxations and\ndirectives while taking understanding of the public health issue in advance to\nthe citizen.<\/p>\n\n\n\n<p>In continuance of its <strong>&#8216;circulars dated March 19, 2020, and March 24, 2020<\/strong>\u2019 whereby definite compliance relaxations were presented, MCA has now dispensed two numbers of circulars dated (&#8220;<strong>Circular 1<\/strong>&#8220;) April 8, 2020, and (&#8220;<strong>Circular 2<\/strong>&#8220;) April 13, 2020. Those are for relaxation of special resolutions and ordinary in light of the current extra-ordinary conditions.<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" width=\"602\" height=\"414\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-44.png\" alt=\"COVID-19 outbreak concerning Demand for Poll\" class=\"wp-image-10339\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-44.png 602w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-44-300x206.png 300w\" sizes=\"(max-width: 602px) 100vw, 602px\" \/><\/figure><\/div>\n\n\n\n<h3 class=\"wp-block-heading\">Circular dated April 8, 2020&nbsp;<\/h3>\n\n\n\n<p>In this circular, the MCA has requested companies to take all\npronouncements of urgent nature. It should be requiring the members&#8217;\nendorsement other than for items of ordinary business and matters where any\nperson concede a right to be heard through the apparatus of <strong>postal ballot\/e-voting<\/strong>, deprived of the\nphysical presence of members holding a general meeting.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Circular dated April 13, 2020<\/h3>\n\n\n\n<p>According to the vide Circular 2, the MCA, while illuminating the issue of dispatch of notices by companies through post. The members of their \u2018assent or dissent\u2019 communication on appropriate resolutions should be by post under the current conditions.&nbsp;<\/p>\n\n\n\n<p>It has also stated that while such companies are managing any matter only by postal ballot, up to June 30, 2020, or any further notification provided. Moreover, the <strong>&#8220;<\/strong>Rules&#8221; are similar to the framework delivered in the Circulars would be pertinent mutatis mutandis<em><strong>.&nbsp;<\/strong><\/em><strong>All the requirements are delivered in Rule 20 of the Companies (Management and Administration) Rules, 2014.&nbsp;<\/strong><\/p>\n\n\n\n<h3 class=\"wp-block-heading\">E-Voting on Demand for Poll<\/h3>\n\n\n\n<p>If demand for poll is made under Section 109 of the Act, <strong>less than fifty (50) members voting shall\nbe piloted through e-voting scheme<\/strong>. Moreover,&nbsp;<strong>chairman shall guarantee that the e-voting system&#8217;s facility is\nobtainable for voting throughout the company&#8217;s Meeting.<\/strong><strong><\/strong><\/p>\n\n\n\n<p>If in cases where less than 50 members are present in the\nGeneral Meeting, the chairman may deport a vote by show of hands, if not a\ndemand for poll is made under Section 109 of the Companies Act, 2013.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The companies must ensure that all additional compliances\nconnected with the provisions regarding general meetings or the making of\ndisclosures, or approvals for voting by bodies corporate, examination of\nrelated documents\/registers by members, etc. as conveyed in the Act. Moreover,\nthe articles of association of the company are to be accomplished through\nelectronic mode only.&nbsp;<\/p>\n\n\n\n<p>If you would like more appropriate information or detailed assistance as per your requirements in formulating for your Annual General Meeting, please connect with our <a href=\"https:\/\/corpbiz.io\/\"><strong>Corpbiz<\/strong><\/a> Professionals. Our Corpbiz group will be at your disposal if you want expert advice on any aspect of Entity Compliances and registration. We will support you to ensure complete compliances as per your desired activities, safeguarding the fruitful and well-timed completion of your inquiry.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/appointment-of-additional-director-in-a-company\/\">Appointment of Additional Director in a Company as per Companies Act, 2013\n<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>In consonance with Legislative experiences on Demand for Poll, Clause 109 pursues to deliver on a declaration of result of voting on any perseverance by a &#8216;show of hands.&#8217; Chairman of the Meeting on his own or demand made identified by members order for a poll corresponds to &#8216;sections 179, 180, 184 and 185&#8217; of [&hellip;]<\/p>\n","protected":false},"author":20,"featured_media":10365,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[120],"tags":[641],"acf":{"service_id":"321"},"authorName":"Archita Bhattacharjee","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/03\/WhatsApp-Image-2020-03-18-at-11.26.19-AM-1.jpeg","authorDescription":"Archita Bhattacharjee is working as Legal Analyst (Team Lead, Research &amp; Development) at Corpbiz and has proving experience about 2 years as Corporate Legal Researcher in law firms as well as Rajya Sabha and authors in diverse publications. She has refined her skills by representing India in Paris, France and the University of Leiden over implications of International Humanitarian and Criminal Law being certified member of many Legal Centers.","postViews":14810,"readingTime":10,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/10335"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/20"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=10335"}],"version-history":[{"count":12,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/10335\/revisions"}],"predecessor-version":[{"id":19754,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/10335\/revisions\/19754"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/10365"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=10335"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=10335"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=10335"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}