Meetings through Video Conference
At times it becomes very difficult to conduct board meeting when all directors are not present due to some reasons, and due to this there were many constrains in conducting board meeting, but with technology getting so updated and with so many new trends coming in, Ministry of Corporate Affairs have allowed holding board meeting through video conferences, to ease the job of board of directors.
Holding board meeting through video conference is easy, time saving, cost effective, environment friendly. But unfortunately not all matters can be dealt with video conference. There are certain specific matters which are specifically excluded in board meeting through video conference.
Matters which cannot be dealt through video conference are:
- Approval of the Annual Financial Statement
- Approval of Board Report
- Approval of the prospectus
- Audit Committee meeting for consideration of accounts
- Approval of the matter relating to amalgamation, merger, demerger, takeover, etc
Though video conference has benefits it also accompanies along with it certain negativities like technical issue, international time zone, physical absence and interaction, impersonal, maintenance of records.