MANDATORY BUSINESS TO BE TRANSACTED THROUGH POSTAL BALLOT

Mandatory business to be transacted through postal ballot:-

1.       Alteration of the object clause of the memorandum.

2.       Alteration of association of article in relation insertion or removal of provision defining a private company.

3.       Change in place of registered office outside the local limits of any city, town or village.

4.       Change in object for which company has raised money through issue of prospectus and still there have some unutilized money.

5.       Buy-back of shares by a company.

6.       Election of “small shareholders” directors.

7.        Issue of share with differential right.

8.       Sale of the whole or substantially the whole of an undertaking of a company.

9.       Giving loans or extending guarantee or providing security exceeding 60% of paid-up share capital, free reserve and security premium or 100% of its free reserve and securities premium account.

These are the main businesses which are to be transacted through postal ballot. Following company are not required to transaction any business through postal ballot:-

1.       One Person Company.

2.       All other companies having members up to 200.