Postal ballot and e voting

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

06 June 2015 Dear Expert,

Plz tell me when postal ballot is required and when evoting.. I have gone through the rule and act like Rule 20, 22(16) and section 107 108 109 but i want to know whether same matter can be done through postal ballot and e voting or there is a line of difference about which way need to be used. According to me, same matter can be transacted through e voting as well postal ballot, now company has to choose which way to follow. Am i right??

Thanks in advance.

CS Mitesh Mehta

CS Mitesh Mehta (Expert)
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06 June 2015 In terms of Section 2(65) of the Act, postal ballot means voting by post or through any electronic mode.

Section 108 of the Act read with Rule 20 of Companies (Management and Administration) Rules, 2014 which provides for voting by electronic means states that certain companies have to mandatorily provide e-voting facility in case of voting at a general meeting. The said section is silent about postal ballot.

Section 110 of the Act read with Rule 20 of Companies (Management and Administration) Rules, 2014, which contains
provisions dealing with postal ballot, also does not contain any clear stipulation regarding mandatory requirement of voting
through electronic means in case of a postal ballot except that it is stated in Rule 20 that “The provisions of rule 20 regarding voting by electronic means shall apply, as far as applicable, mutatis mutandis to this rule in respect of the voting by electronic means.”

The listing agreement further mandates that in respect of all share holders resolution, whether to be passed through postal ballot or a general meeting, e-voting facility has to be mandatorily provided.

With reference to the shareholders
query regarding matters specified under rule 22(16) (transactions of certain items only through postal ballot) can be considered in a general meeting where e-voting facility is available. After examining this issue it has been stated that in view of clear provisions of section 110(1)(a) read with such rule 22(16),
it would be necessary to transact items specified in rule 22(16) only through postal ballot and not at the general meeting.

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