Question

Which of the following meetings can be called by members

• A. Extra-ordinary General Meeting
• B. Annual General Meeting
• C. Statutory meeting
• D. Special meeting

Hint:

Remember: \textbf{AGM} is the Board's annual duty. \textbf{EGM} is for everything else, and it is the members' primary tool to call a meeting for urgent business.

Answer 1

The Correct Option is A

Step 1: Understanding the Concept:
The question asks which type of company meeting can be initiated or called by the members (shareholders) themselves. This is a crucial right given to shareholders to discuss urgent matters.
Step 2: Detailed Explanation:
Let's analyze the types of meetings:
- Annual General Meeting (AGM): This is a mandatory yearly meeting called by the Board of Directors to discuss routine matters like approval of accounts, declaration of dividends, etc. (Section 96, Companies Act 2013).
- Statutory Meeting: This was a mandatory meeting for public companies under the old Companies Act, 1956, to be held within a specific period after incorporation. This concept has been abolished under the Companies Act, 2013.
- Extra-ordinary General Meeting (EGM): Any general meeting other than an AGM is an EGM. Section 100 of the Companies Act, 2013, explicitly provides that the Board \textit{must} call an EGM on the requisition (formal request) of a specified number of members (holding at least one-tenth of the paid-up share capital or voting power). If the Board fails to do so, the requisitionists (members) themselves can call the meeting.
Therefore, the EGM is the primary mechanism through which members can compel the company to hold a meeting.
Step 3: Final Answer:
Under Section 100 of the Companies Act, members have the power to requisition, and in case of the Board's default, to call an Extra-ordinary General Meeting. Therefore, option (A) is correct.