What is explanatory statement?

More Definitions of Explanatory Statement Explanatory Statement means the statement prepared by the appropriate jurisdiction’s attorney stating the effect of a ballot measure if passed into law.

Is Explanatory Statement compulsory?

The explanatory statement is required to be given in case of special businesses only. All other businesses in case of an annual general meeting and all businesses in case of an extraordinary general meeting are deemed to be special businesses.

What is Section 173 of Companies Act 2013?

“Provided further that a Specified IFSC private company shall hold the first meeting of the Board of Directors within sixty days of its incorporation and thereafter hold atleast one meeting of the Board of Directors in each half of a calendar year.”.

What is resolution requiring special notice?

Resolutions requiring special notice and special resolutions are different from each other. The former is a procedure preceding the presentation of resolution proposed by certain members for approval of members at general meeting while the latter is a type of resolution passed under section 114 of the Act.

How do you write an explanatory statement?

General requirements for preparing explanatory statements

1. provides a plain English explanation;
2. states the authority for making the instrument;
3. states the reasons for making the instrument;
4. summarises the likely impact and effect;
5. discusses any unusual aspects or matters that call for special comment;

What is explanatory statement in Companies Act 2013?

The following is the Explanatory Statement as required by Section 102 of the Companies Act, 2013, sets out all material facts relating to Special Business mentioned in the accompanying Notice for convening the Extra-Ordinary General Meeting of the members of the Company: Item No.

Who may call extraordinary general meeting?

The members/shareholders of a company can call for an extraordinary general meeting. However, only certain members with a significant stake in the company are allowed to call for an EGM.

Who is eligible for special notice?

(1) A special notice required to be given to the company shall be signed, either individually or collectively by such number of members holding not less than one percent of total voting power or holding shares on which an aggregate sum of not less than five lakh rupees not more than five lakh rupees not less than five …

What is special notice in Companies Act?

A special notice is the notice of an intention to move a ‘resolution’, as may be required under the provisions contained in the Companies Act or in the articles of a company, given to the company in writing.

What are examples of explanatory?

The definition of explanatory is something that makes things more clear. An example of explanatory is a science teacher describing to his students how plants need sunlight to grow. Explaining or intended to explain.

Which is explanatory statement pursuant to Section 173 of the Companies Act, 1956?

EXPLANATORY STATEMENT PURSUANT TO SECTION 173(2) OF THE COMPANIES ACT, 1956 As per the requirements of Section 173(2) read with Section 77A and other applicable provisions of the Companies Act, 1956 and the Securities and Exchange Board of India (Buy-back of Securities) Regulations, 1998, the Explanatory Statement contains relevant and material

What was section 170 of the Companies Act 1956?

Previously section 170 of the Companies Act, 1956 gave exemption from the provisions of sections 171 to 186 of the Companies Act, 1956 to purely private companies if their articles provided for it.

What is the present proposal under the Companies Act 1956?

The present proposal is to seek the members’ approval for the re-appointment of Mr. X as Managing Director in terms of the applicable provisions of the Companies Act, 1956.