Representation of corporations at meeting of companies and of creditors
📚 Law Minded summary
A company or other body corporate cannot personally attend a meeting, so it authorises a representative by resolution of its board.
That person can exercise all the powers the body corporate itself would have — speaking, voting on a show of hands, and appointing a proxy.
The same applies where a body corporate is a creditor and attends a meeting of creditors.
(1) A body corporate, whether a company within the meaning of this Act or not, may, —
(a) if it is a member of a company within the meaning of this Act, by resolution of its Board of Directors or other governing body, authorise such person as it thin ks fit to act as its representative at any meeting of the company, or at any meeting of any class of members of the company;
(b) if it is a creditor, including a holder of debentures, of a company within the meaning of this Act, by resolution of its directors or other governing body, authorise such person as it thinks fit to act as its representative at any meeting of any creditors of the company held in pursuance of this Act or of any rules made thereunder, or in pursuance of the provisions contained in an y debenture or trust deed, as the case may be.
(2) A person authorised by resolution under sub-section (1) shall be entitled to exercise the same rights and powers, including the right to vote by proxy and by postal ballot, on behalf of the body corporate which he represents as that body could exercise if it were an individual member, creditor or holder of debentures of the company.