Relevant provision under the Companies Ordinance, 1984

Q. (i)The general meeting of a company was scheduled on 31st August 2012 but had to be adjourned because due quorum was not present. A resolution was passed in the adjourned meeting that was subsequently held. Specify the relevant provision under the Companies Ordinance, 1984 regarding the date on which resolution would be treated as passed.

Ans: Date of resolution:

The ordinance provides that the resolution shall, for all purposes, be treated as having been passed and shall not have deemed to have been passed on any earlier date i.e. the date of adjourned meeting passed it.

(ii) Discuss the term ‘dividend warrant’ by differentiating it with ‘dividend’ under the Companies Ordinance, 1984 and also list down the particulars required to be annexed to each dividend warrant.

Ans: Dividend and Dividend Warrant:

Dividends are paid warrants, sent by the secretory of the company to each shareholder, on the authority of the directors. Like a cheque a dividend warrants is an unconditional order to the bank to pay the sum of money specified thereon to the named shareholder in cash or by credit to his account.

A statement in writing, showing the following particulars shall accompany or be annexed to each dividend warrants.

•   The gross amount, deduction for income tax, and the net amount actually paid.
•   The rate and amount of the income tax assessed against the gross amount.