Discuss the legal arrangements regarding the meeting of the Board of Directors. Also prepare a sample of the notice and program of this meeting.
These meetings are held several times a year. In these meetings, the matters and policies related to the company are discussed and decisions are taken, such as allotment of shares, determining the policies of the company, recommending the issue of bonus shares, allowing transfer of shares, loan Planning for issue of letters, making recommendations regarding dividend, etc. Directors’ meetings are divided into the following two parts
(1) Meetings of the Board of Directors – The group of directors is called the Board of Directors. When this board of directors organizes a meeting to discuss the policies and important topics related to the company, it is called meeting of the board of directors. In this case, each director has the right to vote. If the votes in favor and against are equal, the vote of the Speaker is called the casting vote.
(2) Meetings of the Board of Directors – In big companies if their Articles permit. So the board of directors makes small committees of directors, in which there are 1, 2 or 3 directors to perform certain types of tasks. Some of these committees are of permanent nature, such as Share Transfer Committee, Finance Committee etc., but some committees are formed temporarily to carry out special tasks, such as considering the Staff Provident Fund. When a meeting of one or more of these committees is called, it is called the meeting of the governing committee.