Meetings Of Company (Business & labor laws)

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AAcckknnoowwlleeddggmmeennttss
First of all thanks to ALLAH, Who is most beneficent & the most merciful,
whose blessings are abundant & favors are unlimited. And who blessed me
with the knowledge and wisdom & enabled me to overcome this task.
I dedicate this report to my parents, because of their prayers and
encouragement I have been able to complete this report. Heartiest
gratitude to my parents without their continue encouragement and love I
could not have accomplished this task.
It’s my pleasure to acknowledge the guidance and support of my subject
teacher Mr. “Shahid Jamal Butt” for his endless guidance.
I would also like to acknowledge the “Nishat Mills Limited”.

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AAnn AAbbssttrraacctt
Meeting of the companies are of three kinds:
 Meetings of Members
 Meetings of Directors
 Meetings of Creditors
Meetings of members are general meetings as they are attended by all the
members. The management of the company is undertaken through
meetings of the company’s shareholders where major decisions are to be
taken. The meetings are usually called by directors, but may also be called
by the shareholders. In case of default the Commission may call a meeting,
either of its own accord or on the application of members. There are three
types of meetings of members: the Statutory Meeting, the Annual General
Meeting, And Extra Ordinary General Meeting.
A Board of Directors generally must conduct a Board meeting to make
company decisions,frame the general policy of the company, direct its
affairs, appoints the company officers, ensures that they carry out their
duties and recommend to the share holders regarding distribution of
dividend.
The Meeting where a bankruptcy trustee's studies the debtor's filing for
bankruptcy and questions the debtor under oath. All of the debtor's

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creditors are invited to attend the meeting and can ask questions,
although they rarely attend.
TTaabbllee ooff CCoonntteenntt
1. Title Page.
2. Acknowledgement
3. An Abstract
4. Introduction to the topic
a. Intro (continues)
b. Kinds of meetings
5. Practical study
6. SWOT Analysis
7. Conclusion
8. References

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IInnttrroodduuccttiioonn
Meaning:
• Meeting: Get together of individuals or persons with some plan is
known as meeting.
• Business meeting: When two or more persons gathered as per
given notice to discuss some business matters is known as business
meetings.
• Company meeting: When the members of a company gather at a
certain time and place to discuss business affairs it is called
company meeting.
Meetings of Company:
Meetings of the company are of three kinds:
1)Meetings of Members
These meetings are general meetings as they are attended by all the
members. The management of the company is undertaken through
meetings of the company’s shareholders where major decisions are to be

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taken. The meetings are usually called by directors, but may also be called
by the shareholders. In case of default the Commission may call a meeting,
either of its own accord or on the application of members. Get together of
individuals or persons with some plan is known as meeting.
Types of meetings of the shareholders:
The meetings of the shareholders are of three types:
 The Statutory Meeting
The statutory meeting is the first meeting of the members of the company
after it commences business. It is held once in lifetime of the company.
Section 157(1) states that
“ every company limited by shares and every company limited by guarantee and
having a share capital shall , within a period of not less than three months, nor more
than six months, from the date at which the company is entitled to commence business,
hold a general meeting of the members of the company, which shall be called ‘the
statutory meeting’ ”.
Sub section (12) states that this section shall not apply to a private
company. Thus the following companies are required to hold the statutory
meeting:
Every public company limited by shares.
Every company limited by guarantee and having a share capital.
Occasion:

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This meeting must be held after 3 months, but before 6 months of
obtaining the certificate of commencement of business.
Notice of Meeting:
The directors will send a notice of the meeting to all the members of the
company at least 21 days before the meeting. And also send a copy of
statutory report to the shareholders and ROC.
Objectives:
• To win Confidence
• To Provide Latest Information
• To Discuss Future Plans
• To Discuss Statutory Report
 Total number of shares issued
Total receipts and total payments
 Cash received against shares allotted
 Details of the shares allotted
Requirements of Statutory Meeting:
Following are the requirements of statutory meeting:
• It is to be held within a period of three to six months after the
commencement of business.
• Twenty one days before the date on which the meeting is held, the
director shall forward a report, “the Statutory Report” to every
member. The report is to be certified by the CEO and two other

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directors. After certification a copy is to be sent to the registrar and
the auditors. The Annual General Meeting, Extra Ordinary General
Meeting
The Statutory report includes the following:
• List of Members
• Shares allotted and the amount received from them
• Particulars of the directors, managers and secretary
• Particulars of contracts that have to be approved
• The detail of company’s affairs along with fees and brokerage
paid.
The members present at meeting are at liberty to disclose any matter
relating to the formation of the company.
 Annual General Meeting (AGM)
The Annual General Meeting (AGM) is a required meeting under the
ordinance. It is an annual meeting through which the shareholders control
the affairs of the company. They may raise questions about the affairs of
the company including its accounts. It is, therefore, the annual general
meeting of the company that protects the interest of the shareholders.
“Every public company will hold Annual General Meeting of its members every year.
This meeting is to be call and held by the directors of the company “.
Occasion:

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The first annual general meeting must be held within 18 months from the
date of its incorporation. The next meeting must be held once in every
calendar year within 4 months after closing of its financial year. The
interval between the two meetings must not exceed than 15 months.
Notice of the Meeting:
company at least 21 days before the meeting. It should also be published in
newspaper.
Requirements of AGM:
It must be held every year. The first AGM is to be held within eighteen
months of incorporation. Every subsequent (coming) AGM is to be held
within four months of the closing of the company’s annual financial year.
Notice of the date of the meeting is to be send twenty one days before such
date to the shareholders whereas in case of a listed company the notice is
also required to be published in the newspaper. In case of default in
complying with any of these requirements all officers party to such default
shall be held liable. The gap between two AGMs should not be more than
fifteen months.
Agenda of AGM:
In this meeting the following matters are usually considered.
• Annual accounts of the company
• Declaration of dividend
• Retirement and appointment of auditors

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• Retirement and appointment of Directors.
Objective:
• To check Annual Accounts
• Declaration of Dividend
• Election of Directors
• Appointment of Auditor
 Extra Ordinary General Meeting
“All general meetings other than annual general meeting and statutory meeting are
known as Extra-Ordinary General Meetings. This meeting is held on the special
occasions or you can say in the emergency situations when directors think that it
necessary “. For example; at the plan of merger etc
According to section 159
All general meetings of a company, other than AGM and the statutory
meeting are called Extra Ordinary General Meeting. Such meetings are
called to deal with some urgent special business that can not be postponed
till the AGM. These meetings are called by two ways:
i) Calling of Extra Ordinary General Meeting by Directors.
The directors may at any time call the Extra Ordinary General Meeting of
the company to consider any matter which requires the approval of the
company in general meeting.
ii)Calling of Extra Ordinary General Meeting on the
Requisition of Members.

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The directors shall, on the requisition of members representing the one
tenth of the voting power on the date of deposit of requisition, forthwith to
proceed to call an extra ordinary general meeting.
 Requirements of Calling Extra Ordinary General Meeting on the
Requisition of Members.
i) The requisition shall state the objects of the meeting.
ii) It will be signed by the requisitionists.
iii)The requisition will be deposited at the registered office of the
company.
iv)If the directors do not proceed within the twenty-one days from
the date of the requisition being so deposited to call a meeting, the
requisitionists may themselves call the meeting.
v) The meeting so called shall be held within three months from the
date of depositing such requisition.
vi)The meeting will be called in the same manner as the meetings
are called by directors.
iii) Notice of an Extra Ordinary General Meeting:
The notice of an Extra Ordinary General Meeting shall be send to the
members at least twenty one days before the date of the meeting and in
case of a listed company it shall also be published in a newspaper. A
shorter notice period will require approval of the registrar.
Occasion:
This meeting is held on the special occasion and in the emergency
situation.
Notice of the Meeting:

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company at least 21 days before the meeting.
2) Meetings of Directors
A Board of Directors generally must conduct a Board meeting to make
company decisions,frame the general policy of the company, direct its
affairs, appoints the company officers, ensures that they carry out their
duties and recommend to the share holders regarding distribution of
dividend.
A quorum represents the minimum amount of directors is 2 directors.
There are also essentially 2 types of directors’ meetings:
 Special: A special meeting is one called by a majority of the
director for a particular purpose or purposes.
 Scheduled: A scheduled meeting is generally set forth in the
corporation’s Bylaws or Articles of Incorporation.
Advisory boards merely act as advisors for the Board of Directors. It is
therefore the Board of Directors that holds responsibility for the overall
success and failure of the corporation.
Requisites of a valid meeting:
i. Proper Authority:
The proper authority to convene a general meeting of a company is the
Board of Directors. The Board should pass a resolution to call the general
meeting. If the directors do not call the meeting, the member or the
Company Law Board may call the meeting.

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ii. Notice of meeting:
Proper notice of the meeting should be given to all the members and all
others who are entitled to attend the meeting. A general meeting may be
called by giving a notice of less than 21 days. If the notice of a meeting is
not given to every person entitled to receive notice, then any resolution
passed at the meeting will of no effect but accidental omission may be
valid.
iii. Quorum for meeting:
Quorum means the minimum number of members who must be present to
constitute a valid meeting. The quorum is generally fixed by the Articles. 5
members personally present in the case of Public Company and 2 in the
case of any other company.
iv. Chairman of meeting:
A chairman is necessary to conduct a meeting. He is the presiding officer
of the meeting. Unless the Articles of a company otherwise provide, the
members personally present at the meeting shall elect one of themselves to
be the chairman of the meeting on a show of hands.
v. Minutes of meeting:
Minutes are a record of what the company and directors do in meetings.
The book in which the record of the proceedings of a meeting is kept is
known as the minute book. Separate minute books are required to be kept.
Each page of the minute book which records proceedings of a Board
meeting shall be initialed or signed by the chairman of the same meeting
or the next succeeding meeting.

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The Proxy refers to a person who is authorized by a member of a
company to attend and vote at a meeting of the co on his behalf.
Resolution:
i. Ordinary resolution:
Company Act, an ordinary resolution is one which is passed by a simple
majority of votes of members present in person or by proxy at a properly
constituted & convened general meeting.
ii. Special resolution:
Company Act, a special Resolution is one which is passed by at least 3/4th
majority of votes of members present in person or proxy at a properly
constituted & convened G.M.
3) Meetings of creditors
The Meeting where a bankruptcy trustee's studies the debtor's filing for
bankruptcy and questions the debtor under oath. All of the debtor's
creditors are invited to attend the meeting and can ask questions,
although they rarely attend. Sometimes, a company, either as a running
concern or in the event of winding up, has to make certain arrangements
with its creditors. Meetings of creditors may be called for this purpose.
Under section 393,
A company may enter into arrangements with creditors with the sanction
of the Court for reconstruction or any arrangement with its creditors. The
court, on application, may order the holding of a creditor’s meeting. If the
scheme of arrangement is agreed to by majority in number of holding

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debts to value of the three-fourth of the total value of the debts, the court
may sanction the scheme. A certified copy of the court's order is then filed
with the Registrar and it is binding on all the creditors and the company
only after it is filed with Registrar. Similarly, in case of winding up of a
company, a meeting of creditors and of contributories is held to ascertain
the total amount due by the company and also to appoint a liquidator to
wind up the affairs of the company.
PPrraaccttiiccaall SSttuuddyy
Nishat Mills Limited is
the flagship company of
Nishat Group. It was established in 1951 by Mian Muhammad Mansha. It
is one of the most modern, largest vertically integrated textile companies
in Pakistan. Nishat Mills Limited has 198,120 spindles, 655 Toyota air jet
looms. The Company also has the most modern textile dyeing and
processing units, 2 stitching units for home textile, one stitching unit for
garments and Power Generation facilities with a capacity of 89 MW. The
Company’s total export for the year 2011 was Rs. 36.015 billion (US$ 416
million). Due to the application of prudent management policies,
consolidation of operations, a strong balance sheet and an effective
marketing strategy, the growth trend is expected to continue in the years
to come. The Company's production facilities comprise of spinning,
weaving, processing, stitching and power generation. The company
comprises numerous subsidiaries and affiliated businesses have in the

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fields of textile, cement, financial services, insurance, generation,
paper, hospitality industry, agriculture, Dairy industry and aviation.
With 30,000 employees the group is the third largest employer in
Pakistan after the government and the army. The company has total
capitalization of nearly US$10 Billion. Its motto is 'We stopped saying
customers and started saying clients'.
SSWWOOTT AAnnaallyyssiiss
Strength:
 By leading gatherings it permits them to see the advancement of
what they are doing or what are others are doing regarding regular
work or tasks.
Threats:
 Contenders are the greatest risk to Nishat Mills Limited.
CCoonncclluussiioonn
By keenly analyzing the marketing of Nishat Mills Limited, I agree that
Nishat Mills Limited is the safe player in the market. It is penetrating its
market by taking risk and aggressively promoting and advertising itself.

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Meetings of companies are very important for any huge multinational
company so that’s why Nishat Mills Limited is progressing Day by day.
RReeffeerreenncceess
 anisulhaq.weebly.com/company-meetings--kinds-of-
meetings.html
 en.wikipedia.org/wiki/Nishat_Group
 www.legalserviceindia.com/company%20law/com_4.htm
 www.slideshare.net/ukmaggy/meetings-of-
company?from_search=3
 www.slideshare.net/nikenhuidrom9/meetin?from_search=2
 www.nishatmillsltd.com/nishat/company-profile.htm
 Read more: http://www.ehow.com/how_5954854_conclude-
business-meeting.html#ixzz30vEUk6nz

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