CS (Company Secretary) Company Secretarial Practice and Drafting Flashcards

24 sample cards from the Company Secretarial Practice and Drafting deck

Sampled from the end of the deck, so these are different cards from the ones shown on the syllabus page.

1. Before which authorities can a Company Secretary appear and represent clients?

   NCLT, NCLAT, SEBI/SAT, Competition Commission of India, Registrar of Companies/Regional Director, tax tribunals, Telecom Disputes Settlement Tribunal, and other quasi-judicial bodies under relevant statutes.

2. What is a 'Vakalatnama' / Memorandum of Appearance?

   A document by which a party authorises an advocate or authorised representative to appear and act on its behalf before a court or tribunal.

3. What are Secretarial Standards?

   Standards issued by the ICSI prescribing uniform practices and procedures for the conduct of board and general meetings and related matters, made mandatory under Section 118(10) of the Companies Act, 2013.

4. What do SS-1 and SS-2 deal with?

   SS-1 deals with Meetings of the Board of Directors; SS-2 deals with General Meetings.

5. What do SS-3 and SS-4 deal with?

   SS-3 deals with Dividend; SS-4 deals with the Report of the Board of Directors.

6. What is the minimum notice period for a Board Meeting and a General Meeting under the Companies Act 2013?

   A Board Meeting requires at least 7 days' notice; a General Meeting requires at least 21 clear days' notice (clear days excluding date of notice and date of meeting).

7. What is 'quorum' for a Board Meeting and for a General Meeting of a public company?

   Board Meeting quorum: one-third of total strength or two directors, whichever is higher. General Meeting quorum (public company): 5 members personally present if members are up to 1000; 15 if 1000-5000; 30 if more than 5000.

8. How many Board Meetings must a company hold in a year under the Companies Act 2013?

   At least four Board Meetings each year, with not more than 120 days between two consecutive meetings.

9. What is the difference between an Ordinary Resolution and a Special Resolution?

   An ordinary resolution is passed by a simple majority (votes in favour exceed votes against); a special resolution requires votes in favour to be at least three times (3:1) the votes against, i.e., a 75% majority of members voting.

10. What is a Board Resolution by circulation?

    A resolution passed without a meeting by circulating the draft with necessary papers to all directors and approved by a majority of directors entitled to vote, valid under Section 175 unless one-third of directors require it to be decided at a meeting.

11. What is the difference between an Annual General Meeting (AGM) and an Extraordinary General Meeting (EGM)?

    An AGM is held annually (within 6 months of financial year end, gap not exceeding 15 months) to transact ordinary business; an EGM is any general meeting other than the AGM, convened to transact urgent special business.

12. What is E-Governance in the context of corporate compliance / MCA?

    The use of electronic platforms—the MCA21 portal—for filing forms, returns, documents and resolutions, enabling paperless, faster and transparent interaction between companies and the Registrar of Companies.

13. Name common MCA e-forms and their purpose: MGT-7, AOC-4, DIR-12, and MGT-14.

    MGT-7: Annual Return; AOC-4: filing of financial statements; DIR-12: appointment/change/cessation of directors and KMP; MGT-14: filing of resolutions and agreements with the ROC.

14. What types of resolutions and items must be filed with the ROC in Form MGT-14?

    Special resolutions, certain board resolutions under Section 179(3), resolutions of creditors/classes, and agreements specified under Section 117, filed within 30 days of passing.

15. What are the key contents of the Board's Report (Director's Report)?

    State of company affairs, financial summary, dividend, reserves, changes in directors/KMP, extract/web link of annual return, number of board meetings, directors' responsibility statement, particulars of loans/guarantees/investments, related party transactions, CSR, risk management, and conservation of energy details.

16. What is the Directors' Responsibility Statement under Section 134(5)?

    A statement in the Board's Report confirming that applicable accounting standards were followed, prudent accounting policies were applied, adequate records were maintained, accounts were prepared on a going-concern basis, internal financial controls (for listed companies) were adequate, and proper compliance systems were devised.

17. What is Stakeholder Communication and why is it important?

    The structured exchange of relevant, timely and accurate information between a company and its stakeholders (shareholders, regulators, employees, creditors, customers, community); it builds trust, ensures transparency, supports informed decisions, and is central to good corporate governance.

18. What is the role of the Stakeholders Relationship Committee?

    A board committee (mandatory under Section 178 for companies with more than 1000 holders) that considers and resolves grievances of security holders such as those relating to transfer/transmission of shares, non-receipt of dividends, annual reports and other complaints.

19. What is the difference between 'minutes' and an 'agenda' of a meeting?

    An agenda is the list of items of business to be transacted, circulated before the meeting; minutes are the official written record of the proceedings, decisions and resolutions, prepared and signed after the meeting.

20. Within what time must minutes of a meeting be entered and signed under Secretarial Standards?

    Minutes must be entered in the Minutes Book within 30 days of the conclusion of the meeting, and once entered, finalised and signed within the prescribed timelines under SS-1 and SS-2.

21. What is a 'proxy' and what are its key restrictions in a general meeting?

    A proxy is a person appointed by a member to attend and vote on the member's behalf; a proxy cannot speak and (in companies having share capital) can vote only on a poll, must be lodged 48 hours before the meeting, and one person cannot act as proxy for more than 50 members holding in aggregate not more than 10% of total voting share capital.

22. What is the distinction between a 'deed' and an 'agreement'?

    A deed is a formal written instrument that is signed, sealed and delivered, often required for conveyances and where no consideration exists; an agreement is a broader term for a mutual understanding, generally requiring consideration, and may or may not be in the form of a deed.

23. What is the purpose of a 'definitions' clause in an agreement?

    To assign precise, consistent meanings to key terms used throughout the document, thereby avoiding ambiguity, reducing repetition, and ensuring uniform interpretation.

24. What is e-voting and which companies are required to provide it?

    E-voting is voting by electronic means on resolutions at general meetings; every listed company and every company with 1000 or more members must provide the facility to members to exercise their vote electronically (Section 108).

What this deck covers

Company Secretarial Practice and Drafting flashcards FAQ