Que5.10. What do you understand by the term shares? What are the types of share? Answer 1. A share in the share capital of the company, including stock, is the description of the term ‘ Share ’. This is in agreement with Section 2( 84) of the Companies Act, 2013. 2. In other words, a share is a measure of the interest in the company’s means held by a shareholder. 3. Shares of any member in a company are portable parcels. Also, they’re transmittable in the manner specified in the papers of the company. 4. Section 45 of the Act authorizations the numbering of every share. This number is distinctive. still, if a person is a holder of the salutary interest in the share, also this rule doesn’t apply. Types of share According to the Companies Act, 2013, the share capital of a company is of two types 1. Preferential Share Capital i. The preferential share capital is that part of the issued share capital of the company carrying a preferential right fora. tip Payment A fixed quantum or quantum calculated at a fixed rate. This might/ might not be subject to income duty.b. Prepayment In case of a winding up or prepayment of the quantum of paid- up share capital, there’s a preferential right to the payment of any fixed decoration or decoration on any fixed scale. 2. Equity Share Capital i. All share capital which isn’t preferential share capital is equity share capital. ii. Equity shares are of two typesa. With voting rights.b. With discriminational rights to voting, tips,etc., in agreement with the rules. Que5.11. Describe Director/ Board of Directors in business Organization. Also list different type of directors. Answer 1. A director is a person appointed to perform the duties and functions of director of a company in agreement with the vittles of the Companies Act, 2013. 2. The administrative authority controlling the operation and affairs of a company vests in the platoon of directors of the company, inclusively known as its Board of Directors. 3. The Board of Directors oversees how the operation serves and protects the long term interests of all the stakeholders of the Company. 4. The board is entrusted with the responsibility to act in the stylish interests of the company. 5. The conduct and deeds of directors collectively performing can not bind the company, unless a particular director has been specifically authorised by a Board resolution to discharge certain liabilities on behalf of the company. 6. The Companies Act, 2013 doesn’t contain an total description of the term” director”. Section 2( 34) of the Act specified that” director” means a director appointed to the Board of a company. 7. Section 149( 1) of the Companies Act, 2013 requires that every company shall have a minimal number of 3 directors in the case of a public company, two directors in the case of a private company, and one director in the case of a One Person Company. 8. A company can appoint maximum 15 directors. A company may appoint further than 15 directors after passing a special resolution in general meeting. Types of Directors 1. Domestic director 2. Independent director 3. Small Shareholders Directors 4. Women Director 5. fresh Directors 6. Alternate Directors 7. Shadow Director 8. designee Directors Que5.12. Explain in detail about the periodic general meeting. Answer 1. An Annual general meeting refers to the meeting which is held annually by the companies. 2. It’s important for every type of company whether it’s a private company or a public company, limited by shares or guarantees to conduct an periodic general meeting formerly in a time. 3. There should not be a gap of further than 15 months between two periodic general meetings. 4. An exception is given when a company is incorporated, in such a case the company may not conduct an periodic general meeting in the time at all. 5. After objectification, the company needs to conduct an periodic general meeting within 18 months. 6. According to Section 166 of the Companies Act, the first meeting after objectification of the company must be held within 18 months. Que5.13. Write a short note on twinkles of proceedings of general meeting. Answer 1. Every company shall beget twinkles of the proceedings of every general meeting of any class of shareholders or creditors to be prepared and inked in similar manner as may be specified and kept within thirty days of the conclusion of every similar meeting concerned. 2. The twinkles of each meeting shall contain a fair and correct summary of the proceedings thereat. 3. All movables made at any of the meetings aforesaid shall be included in the twinkles of the meeting. 4. The twinkles kept in agreement with the vittles shall be substantiation of the proceedings recorded therein. 5. No document purporting to be a report of the proceedings of any general meeting of a company shall be circulated or announced at the expenditure of the company. 6. If a person is set up shamefaced of tampering with the twinkles of the proceedings of meeting he shall be punishable. Que5.14. Describe the part of adjudicator under Companies Act, 2013. Explain different types of adjudicator. Answer 1. An adjudicator is an independent professional person good to perform an inspection. 2. In account, an adjudicator is someone who’s responsible for assessing the validity and trustability of a company or association’s fiscal statements. 3. The purpose of the adjudicators in the company is to cover the interests of the shareholders. 4. The adjudicator is obliged by law to examine the accounts maintained by the directors and inform them of the true fiscal position of the company. 5. Adjudicator gives his independent opinion to the possessors or shareholders of the company to cover and keep the company in a safe fiscal condition. 6. Every company shall appoint an adjudicator who can either be an individual or a establishment. Types of adjudicator There are two types of adjudicatorsA. External adjudicators 1. External adjudicators are independent account/ auditing enterprises that are hired by companies subject to an inspection. 2. External adjudicators express their own opinions on whether the fiscal statements of the company in question are free of material misstatements. 3. For intimately- traded companies, external adjudicators could also be needed to give an opinion on the effectiveness of internal controls over fiscal reporting.B. Internal adjudicators 1. Internal adjudicators are those who are employed by the company that they review. 2. They primarily give checkups related to the effectiveness of the company’s internal controls over fiscal reporting. 3. Internal adjudicators aren’t independent of the company they perform inspection procedures for. Que5.15. What’s winding up( liquidation) process under the Companies Act, 2013? Explain the way involved in it. Answer 1. Winding up of a company is defined as the condition when the life of the company is brought to an end. 2. The parcels of the company are administered for the profit of its members and its creditors. way of winding up The following way are followed in the case of a company winding up 1. An director( liquidator) is appointed in the environment of liquefaction or winding up of a company. 2. The liquidator takes control over the company, assembles its means, pays debts of the company and eventually distributes any fat amongst the members according to their rights and arrears. 3. The company has no means or arrears at the end of liquefaction or winding up. 4. The dissolution of a company takes place when the means and arrears of a company are fully wound up. 5. On the environment of winding up, the name of the company is stuck off from the list of companies and its identity as a separate legal person is lost. 6. still, also the company is considered insolvent and is subordinated to mandatory liquidation or mandatory winding up, If the debts taken by the company is worth further than the means it owns and no agreements have been made with the creditors. Que5.16. What do you mean bye-governance? What are the types ofe-governance? Answer 1. The electronic governance ore-governance implies, government performing with the operation of ICT( Information and Communications Technology). 2. Hencee-Governance is principally a move towards SMART governance inferring simple, moral, responsible, responsive and transparent governance. Types ofe-governance There are 4 types ofe-governance 1. G2C( Government to Citizens) i. This enables citizens to profit from the effective delivery of a large range of public services. ii. Expands the availability and vacuity of government services and also improves the quality of services. iii. The primary end is to make government, citizen-friendly. 2. G2B( Government to Business)i. Enables the business community to interact with the government by usinge-Governance tools. ii. The ideal is to cut red- tapism which will save time and reduce functional costs. This will also produce a more transparent business terrain when dealing with the government. iii. The G2B enterprise help in services similar as licensing, procurement, permits and profit collection. 3. G2E( Government to Hand) i. This kind of commerce is between the government and its workers. ii. ICT tools help in making these relations presto and effective and therefore increases the satisfaction situations of workers. 4. G2G( Government to Government)i. Enables flawless commerce between colorful government realities. ii. This kind of commerce can be between colorful department and agencies within government or between two governments like the union and state governments or between state governments. iii. The primary end is to increase effectiveness, performance and affair.
