Ministry of Finance (MoF) notifies Amendments to LIC General Rules

On March 3rd, 2022 The Ministry of Finance (MoF) apprised the Life Insurance Corporation (LIC) of India General (Amendment) Rules, 2022.

Highlights:

·????????The amendment adds the definition of “audio-visual means” to mean video conferencing and such other means of audio-visual electronic communication which enables all the persons participating in a meeting to communicate simultaneously with each other without a mediator and to participate constructively in the meeting.

“Special Business” means

1.??????In respect of an annual general meeting, all business to be transacted thereat other than items of business specified in sub-section (2) of section 23A of the Act; and

2.??????In respect of any other general meeting, all business to be transacted thereat.

·????????Moreover, the need for maintenance of a register or minutes or book or giving notice or submission of a certificate or calling for information or filing of a statement will be satisfied if the same is maintained, given, submitted, called for or filed, as the case may be, in the form of an electronic record as defined in the Information Technology Act, 2000.

·????????A new rule with respect to general meetings has been instituted which provides that persons entitled to attend and exercise a vote at a general meeting may also do so through audio-visual means, for which the Corporation may adopt such procedure as a company may adopt for holding such meetings under the framework laid down by the competent authority in the Ministry of Corporate Affairs (MCA). The notice for a general meeting of the Corporation shall be issued by the Company Secretary, or by such director or another officer of the Corporation as the Board may authorize on its behalf.

·????????The Chairperson shall be the Chairman of a General Meeting of the Corporation and in his absence, or if at any meeting he isn’t present within fifteen minutes of the scheduled time appointed for holding the meeting, or if he is unwilling to chair the meeting, the directors present may choose one amongst themselves to be the chairman. The rules also provide for the procedure and requirements to be taken care of during polls conducted in the general meeting.

·????????The rules prescribe certain forms to be adhered upon. They are :-

1.??????Form 3 provides for the format of attendance slip for a general meeting,

2.??????Form 4 prescribes the format of proxy form,

3.??????Form 5 provides for the format of polling paper, and

4.??????Form 6 provides for the format of the report of scrutinizer.

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References: - https://egazette.nic.in/WriteReadData/2022/233918.pdf