(1)Every company limited by shares and registered after the commencement of this Act shall, within a period of six months from the date at which the company is entitled to commence business, hold a general meeting of the members of the company, which shall be called the statutory meeting.(2)The directors shall, at least ten days before the day on which the meeting is held, forward a report (in this Act called "the statutory report") to every member of the company and to every other person entitled under this Act to receive it.(3)The statutory report shall be certified by not less than two directors of the company or, where there are less than two directors, by the sole director and shall state—(a)the total number of shares allotted, distinguishing shares allotted as fully or partly up otherwise than in cash, and stating in the case of shares partly paid up the extent to which they are so paid up, and in either case the consideration for which they have been allotted;(b)the total amount of cash received by the company in respect of all the shares allotted distinguished as aforesaid;(c)an abstract of the receipts of the company whether from its share capital or from debentures, and of the payments made thereout, up to a date within seven clays of the date of the report, exhibiting under distinctive headings the receipts of the company from shares and debentures and other sources, the payments made thereout and particulars concerning the balance remaining in hand and an account or estimate of the preliminary expenses of the company;(d)the names, addresses and descriptions of the directors, auditors (if any), managers (if any) and secretary of the company ;(4)The statutory report shall, so far as it relates to the shares allotted by the company and" to the cash received in respect of such shares and to the receipts sum payments of the company on capital account, be certified as correct by the auditors (if any) of the company.(5)The directors shall cause a copy of the statutory report, certified as by this section required, to be filed with the registrar forthwith, after the sending thereof to the members of the company.(6)Every director of the company who knowingly and wilfully authorises or permits a default in complying with the provisions of sub-section {2) or sub-section (o) shall be liable to a fine not exceeding twenty rupees for every day during which the default continues.(7)The directors shall cause a list showing the names, descriptions and addresses of the members of the company, and the number of shares held by them respectively, to be produced at the commencement of the meeting, and to remain open and accessible to any member of the company during the continuance of the meeting.(8)The members of the company present at the meeting shall be at liberty to discuss any matters relating to the formation of the company, or arising out of the statutory report, whether previous notice has been given or not, but no resolution of which notice has not been given in accordance with the articles may be passed.(9)The meeting may adjourn from time to time, and. at any adjourned meeting any resolution of which notice has been given in accordance with the articles either before or subsequently to the former meeting, may be passed, and the adjourned meeting shall have the same powers as an original meeting.(10)If a petition is presented to the Court in manner provided by Part V for winding up the company. the ground of default in filing the statutory report or in holding the statutory meeting, the Court may, instead of directing that the company be wound up, give directions for the statutory report to be filed or a meeting to be held, or make such other order as may be just.(11)The provisions of this section as to the forwarding and filing of the statutory report shall not apply in the case of a private company.
