|Restriction on Voting Rights.||
Notified Date of Section: 12/09/2013
1&2[106. (1) Notwithstanding anything contained in this Act, the articles of a company may provide that no member shall exercise any voting right in respect of any shares registered in his name on which any calls or other sums presently payable by him have not been paid, or in regard to which the company has exercised any right of lien.
(2) A company shall not, except on the grounds specified in sub-section (1), prohibit any member from exercising his voting right on any other ground.
(3) On a poll taken at a meeting of a company, a member entitled to more than one vote, or his proxy, where allowed, or other person entitled to vote for him, as the case may be, need not, if he votes, use all his votes or cast in the same way all the votes he uses.]
Exceptions/ Modifications/ Adaptations
1. In case of private company – Section 106 shall apply, unless otherwise specified in respective sections or the articles of the company provide otherwise. – Notification dated 5th june, 2015.
2. In case of Specified IFSC Public Company – Section 106 shall apply in case of a Specified IFSC public company, unless otherwise specified in the articles of the company. Notification Date 4th January, 2017.
Leave A Comment
You must be logged in to post a comment.