FAQs on Virtual Meeting – Complete Prospective
Q 1. Explain the concept of Virtual meeting?
Virtual meeting is a meeting that does not involve a physical gathering, but which take place in an electronic form, On the other hand, electronic voting has also been permitted by law for the shareholders meeting in certain cases, but that’s not a virtual shareholders meeting, it’s only one-way interaction, the shareholders cannot question the directors.
Q 2. Explain the meaning of Virtual meeting?
Where the whole of the meeting is held either through video conferencing or through other audio-visual means then such meeting is known as a virtual meeting. In the virtual meeting, there is no physical presence of participants and there is no designated venue for the purpose of meetings. In a virtual meeting, participants of different places participate either by teleconference or video conference, or a combination of them.
Q 3. What is meant by Roll call?
A roll call is nothing but identifying and confirming the attendance of the director.
Q 4. What are the advantages of virtual AGM?
– Increase shareholder participation in meetings
– Saving in travel time and cost.
– Encourages more participation by investors across the world.
– Protect shareholders Interest
– Saves time of the Company’s personal.
Q 5. Can directors be counted for the purpose of quorum?
Directors who participate in a meeting through virtual mode shall be counted for the purpose of quorum, except where they are excluded for any of the items of business under the provisions of the act or any other law.
Q 6. Is zoom is a virtual meeting?
Zoom is a cloud based video conferencing service that you can virtually meet with each other. Video conferencing, teleconference, or a combination of them are a part of virtual meeting. Therefore, Zoom is a part of the virtual meetings.
Q 7. How do u start a virtual meeting?
Virtual meeting is becoming an increasingly common aspect at a corporate world when it comes to professional communication and the way business is done, for most company’s virtual meetings is the fact of life. Companies today operate across multiple time zones from different countries and continents. Employees, Board members, stakeholders, and investors are not from any particular region, city, or country, in fact, they are spread wide and far. By using Virtual technology, it is possible to replace physical meetings which require the presence of people at the designated place and time.
Virtual meeting depends on technical equipment, the software used and trained manpower which should work well and be operated with ease.
1) Audio and Video based- In audio and video conferencing, often they are supported by other forms like chat, white boards, document sharing, etc.
2) Audio conferencing includes conference calls in which three or more participants have participated, by using a centralized system where all participants dials to connect either by connecting the different participants or by using a conference phone or both.
3) Video Conferencing, a technology now a day commonly used in a board meeting.
Requirements for start the virtual meeting such as-
– Meeting rooms
– software, which can be purchased or can be provided by vendor for a fee on a yearly rental basis.
– Hardware equipment like a monitor or LED screen, webcams
– High quality Mike system
– Projectors.
– Document scanners
– Leased Lines
– High speed wireless internet.
– Have a trial run before the meeting
Q 8. Example of virtual meeting?
– Microsoft Skype for business
– Adobe connect
– Google’s Hangouts
– WebEx
– All the major providers provide for a website address where participants can click to join the meeting.
Q 9. How do make virtual meeting more interactive?
For making meeting more interactive, we can set up online through a website host that allows people from anywhere to meet with each other to share information and network in realtime along with take the form of audio, video, instant message chat and apps that can be shared among attendees, such as for taking notes or polls.
Virtual meetings can also be recorded so that attendees or those who missed the meeting can review the meeting and it’s chat transcripts at a later date. Webcam is useful for those participating in video and voice over Internet protocol, allows the audio to work.
Q 10. Explain the types of meeting?
Same time, same place- Conventional meetings | Different time, same place- Project meetings Organizational Meetings |
Same Time, Difference place- Conference calls Video conference Online meetings Web conference | Different Time, Different place Recordings Discussion Forum Social Media |
Q 11. Discuss circular Notification 2020 of virtual meeting?
- A) Ministry of Corporate Affairs, vide General Circular No. 20/2020, issued clarification on holding of Annual General Meeting through Video Conferencing (VC) or other audio visual means (OAVM) :
1) In such meeting, other than ordinary business, only those items of special business which are considered to be unavoidable by the board, may be transacted.
2) Board’s report, auditors report or other documents are required to attach with financial statements shall be sent only by email to members, trustee of debenture holder and all other person entitled the same.
3) Before sending the notices and copies of financial statements etc., the company is required to publish, an advertisement at least once in a vernacular newspaper and one in the English language in English Newspaper having a vide circular in that district in which the registered office of such company is situated with the following information:
- statement that the AGM shall be convened through VC or OAVM
- date and time of AGM
- availability of notice on company website and the stock exchange, if company is a listed company
- the manner in which the members holding the shares in physical form or who do not have registered their email id with the company, can caste their vote through e-voting
- the manner in which members can give their mandate for receiving their dividends directly in their bank account.
4) In case the company is unable to pay dividends to any shareholder through electronic mode, then the company should dispatch a cheque/ dividend warrant to such shareholder by post.
5) In case the company has received permission from the relevant authorities to conduct it’s AGM at its registered office, or at any other place provided under section 96 of the act, the company may in addition holding such meeting via video conference or audio conference and also counted in the quorum of the meeting.
- B) Companies that are not required to provide the facility of E-Voting
1) AGM who conducted through Video Conferencing then send email addresses atleast half of its total number of members, who-
- a) In the case of Nidhi, hold shares more than 1000 rupees face value and more than 1% of paid up share capital – whichever is LESS.
- b) Companies having the share capital, which represents not less than 75% of such part of the paid up share capital of the company as gives a right to vote at the meeting
- c) If a company not having share capital, it should have at least 75% of the total voting power exercisable at the meeting.
2) Company should register the email id of all persons in a company.
3) In such meetings, Other than ordinary business only those items of special business, which are considered to be unavoidable by the board may be transacted.
4) Board’s report, auditors report or other documents are required to attach with financial statements shall be sent only by email to members, trustee of debenture holder and all other person entitled the same.
5) If a company is unable to make the payment of dividend, then payment should be directly transferred to the bank account of the member through the electronic clearing service or any other means. In case, shareholders do not have a bank account, then Company should transfer dividends through a cheque/ dividend warrant.
Ministry of Corporate Affairs, vide its General Circular No. 02/2021 dated 13.01.2021, allows companies whose AGMs were due to be held in the year 2020, or become due in the year 2021, to conduct their AGMs on or before 31.12.2021 in accordance with the General Circular No. 20/2020.
However, it is further clarified that General Circular No. 02/2021 dated 13.01.2021 shall not be construed as conferring any extension of time for holding AGMs.
Q 12. Can there be a Proxy in General Meeting of company held through Video conferencing?
No, Proxy attendance is not allowed as the shareholder can attend the meeting wherever he located.
Q 13. Where the company has not opted for e-voting but has more than fifty members and in video conferencing it is not possible to go for the vote on show of hands?
Company is required to provide a designated e-mail id and the shareholders are required to send their mandate to such designated e-mail id only through their registered e-mail ids.
Q 14. Where the company do not maintain the registers in the electronic form and also do not have scanned copy of registers then how can the companiy keep registers open for inspection at the AGM held via VC or OAVM?
Where company do not either have registers in electronic form or in scanned form then the company is required to upload the scanned copy in virtual data room established for this purpose.
Q 15. If, on account of poor connection, the Chairman gets disconnected and could not join again, then what will be the consequences? How can the Company proceed with the AGM for remaining items?
If Chairman rejoins after say 5 to 10 minutes then there is no need of adjournment of meeting but if Chairman could not join then meeting the such meeting shall have to be adjourned.