Mr A a Director of ABC Ltd recently had a housewarming ceremony at which all BOD members Secretary a...........

Companies Act-Phase (I & II) Board-powersandMeetings

Mr. A, a Director of ABC Ltd recently had a housewarming ceremony at which all BOD members,Secretary & Employees of the ABC Ltd were invited and in attendance. For the next BOD meeting the Company sent a notice at the address of his newly opened house and not at registered address in company’s records (which was his old house). This was done in foresight that the notice would not make it to him had it been sent at the registered address. Is the treatment proper and in line with Companies Act?

Yes, since the newly opened house is indirectly brought to attention of the Co’s records

No, since the house is not the address registered with the company

Yes, the invite for house warming is akin to an application for change in registered address

As per Companies Act the Director whose address for delivery is in doubt, shall be served notice only by hand?

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Explanation:

No, because the house is not the address registered with the company

A meeting of the Board shall be called by giving not less than seven days’ notice in writing to every director at his address registered with the company and such notice shall be sent by hand delivery or by post or by electronic means:

Provided that a meeting of the Board may be called at shorter notice to transact urgent business subject to the condition that at least one independent director, if any, shall be present at the meeting:

Provided further that in case of absence of independent directors from such a meeting of the Board, decisions taken at such a meeting shall be circulated to all the directors and shall be final only on ratification thereof by at least one independent director, if any.