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1[100.CALLINGOFEXTRAORDINARYGENERALMEETING.

(1)TheBoardmaywheneveritdeemsfitcallanextraordinarygeneralmeetingofthecompany.

(2)TheBoardshallattherequisitionmadeby,

(a)inthecaseofacompanyhavingasharecapital,suchnumberofmemberswhohold,onthedateofthereceiptof
therequisition,notlessthanonetenthofsuchofthepaidupsharecapitalofthecompanyasonthatdatecarriesthe
rightofvoting

(b)inthecaseofacompanynothavingasharecapital,suchnumberofmemberswhohave,onthedateofreceiptof
therequisition,notlessthanonetenthofthetotalvotingpowerofallthemembershavingonthesaiddatearightto
vote,

callanextraordinarygeneralmeetingofthecompanywithintheperiodspecifiedinsubsection(4).

(3)Therequisitionmadeundersubsection(2)shallsetoutthemattersfortheconsiderationofwhichthemeetingisto
becalledandshallbesignedbytherequisitionistsandsenttotheregisteredofficeofthecompany.

(4)IftheBoarddoesnot,withintwentyonedaysfromthedateofreceiptofavalidrequisitioninregardtoanymatter,
proceed to call a meeting for the consideration of that matter on a day not later than fortyfive days from the date of
receiptofsuchrequisition,themeetingmaybecalledandheldbytherequisitoniststhemselveswithinaperiodofthree
monthsfromthedateoftherequisition.

(5) A meeting under subsection (4) by the requisitionists shall be called and held in the same manner in which the
meetingiscalledandheldbytheBoard.
2[(6) Any reasonable expenses incurred by the requisitionists in calling a meeting under subsection (4) shall be
reimbursed to the requisitionists by the company and the sums so paid shall be deducted from any fee or other
remunerationundersection197payabletosuchofthedirectorswhowereindefaultincallingthemeeting.]

GUIDENOTES

AnalogousLaw

Thissectioncorrespondstosection169(Callingofextraordinarygeneralmeetingonrequisition)ofthe1956Act.

Overview

This section permits the Board whenever it deems fit to call an extraordinary generalmeeting of the company.
Underthe1956Act,thepowertocallextraordinarygeneralmeetingbyBoardwasconferredthroughRegulation48
ofTableAofScheduleI.
The Board shall at the requisition made by such number of members as specified in subsection (2) call an
extraordinary general meeting of the company, i.e., the requisitionist must, on the date of deposit of the
requisition,holdnotlessthanonetenthofthepaidupcapital/votingpowerofthecompany,asthecasemaybe.

Though the section refers to such number of members in the plural, the requirement of the section would be
satisfiedevenifonememberholdingtherequisitenumberofsharesorvotingrightsmakestherequisition,sinceit
iswellsettledthatwordsinthepluralincludethesingularS.VaradarajanvVentateshwaraSolventExtraction(P)
Ltd[1994]80CompCas693(Mad)
The requisition shall set out the matters for the consideration of which the meeting is to be called and shall be
signedbytherequisitionistsandsenttotheregisteredofficeofthecompany.
The Board shall proceed within 21 days from the date of receipt of a valid requisition to convene a meeting. The
meetingshallbeheldwithin45daysfromthedateofreceiptofsuchrequisition.

IncasetheBoardfailstocallthemeetingwithinthesaidperiod,therequisitionistthemselveswillthencall
such a meeting within 3 months from the date of the requisition. A meeting by the requisitionists shall be
called and held in the same manner in which the meeting is called and held by the Board. Any reasonable
expensesincurredbytherequisitionistsincallingameetingshallbereimbursedbythecompany
Explanatory Statement : The obligation to annex an explanatory statement to the notice of the meeting is
only on the company when it calls for a meeting to transact special business S. Vardarajan (supra).
However, in the case of LIC v Escorts Ltd (1986) 59 Comp Cas 548, the Supreme Court held that no
 explanatory statement need be annexed to the notice of an extraordinary general meeting when convened
pursuanttotherequisition.

TheCompanies(ManagementandAdministration)Rules,2014

Rule17specifiesthemannerofcallingofExtraordinarygeneralmeetingbyrequistionistsasunder:
(1)Themembersmayrequisitionconveningofanextraordinarygeneralmeetinginaccordancewithsubsection(4)
of section 100, by providing such requisition in writing or through electronic mode at least clear twentyone days
priortotheproposeddateofsuchextraordinarygeneralmeeting.
(2) The notice shall specify the place, date, day and hour of the meeting and shall contain the business to be
transactedatthemeeting
It is here by clarified that requistionists should convene meeting at Registered office or in the same city or town
whereRegisteredofficeissituatedandsuchmeetingshouldbeconvenedonworkingday.
(3)Iftheresolutionistobeproposedasaspecialresolution,thenoticeshallbegivenasrequiredbysubsection
(2)ofsection114.
(4) The notice shall be signed by all the requistionists or by a requistionists duly authorised in writing by all other
requistionistsontheirbehalforbysendinganelectronicrequestattachingtherewithascannedcopyofsuchduly
signedrequisition.
(5)Noexplanatorystatementneedbeannexedtothenoticeandtherequistionistsmaydisclosethereasonsforthe
resolution(s)whichtheyproposetomoveatthemeeting.
(6)ThenoticeofthemeetingshallbegiventothosememberswhosenamesappearintheRegisterofmembersof
thecompanywithinthreedaysonwhichtherequistionistsdepositwiththeCompanyavalidrequisitionforcalling
anextraordinarygeneralmeeting.
(7)Wherethemeetingisnotconvened,therequistionistsshallhavearighttoreceivelistofmemberstogetherwith
theirregisteredaddressandnumberofsharesheldandthecompanyconcernedisboundtogivealistofmembers
together with their registered address made as on twenty first day from the date of receipt of valid requisition
together with such changes, if any, before the expiry of the fortyfive days from the date of receipt of a valid
requisition.
(8) The notice of the meeting shall be given by speed post or registered post or through electronic mode. Any
accidental omission to give notice to, or the nonreceipt of such notice by, any member shall not invalidate the
proceedingsofthemeeting.

FOOTNOTES

1.Enforcedw.e.f.12.09.2013videNotification[FileNo1/15/2013CL.V]dated12.09.2013,exceptsubsection(6)

2.Enforcedw.e.f.01.04.2014videNotification[FileNo1/15/2013CL.V]dated26.03.2014

AllrightsreservedwithJusScriptum.

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