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Cofirmation Of Minutes -not Necessary Under Cos Act,1956

Posted under Corporate Law Articles  |
Posted By: Ghanshyam Jhala on July 18, 2009

There has been a recent point of view whether confirmation of minutes is necessary . If we try to comprehend the provisions of companies Act,1956 it says in nutshell as follows : - the minutes of the meeting of Board of Directors should be prepared within 30 days of the meeting and should be signed at the next meeting by the chairman of the Board Meeting etc - Similarly the minutes of committee of directors should also be prepared within 30 days of the meeting date and should be signed by the chairman of the meeting within 30 days . - The minutes of General Meeting should be prepared within 30 days and should be signed by the Chairman within 30 days of meeting and in any case the chairman is not able to sign then any director duly authorised by the board in this respect should sign the same . Thus we see that the minutes are to be prepared within 30 days and should be signed as given hereinabove respectively . The companies ACt 1956 nowhere makes it compulsorry for confirmation of minutes ,though in some corporate there has been a practice of writing in the minutes that the minutes were read,confirmed and signed by the chairman,which in practice is only obtaining signatures of chairman etc without even reading and confirming as such . Even the secretarial standrads do not mention of confirmation of minutes .Secretarial Standards issued by ICSI only say that they should be prepared and sent to Chairman and other directors for their comments and once there value additions are incorporated in minutes they be finalised and circulated with agenda of next BM etc When we have included all the suggestions / value additions then why there should be confirmation at all ?
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Cofirmation of Minutes -not necessary under Cos Act,1956

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