Sourav, Soumyadip, Sucharita and Sohini are four directors of Supershine Detergents Ltd. They decided to convene a meeting on 20th February, 2025 to discuss, consider and solve some issues the company is facing in the co
CS Executive · Company Law and Practice · PYQS · June 2025
Sourav, Soumyadip, Sucharita and Sohini are four directors of Supershine Detergents Ltd. They decided to convene a meeting on 20th February, 2025 to discuss, consider and solve some issues the company is facing in the corporate secretarial compliances since few days. As there is no qualified Company Secretary at present in the company, they invited you, as a practising Company Secretary in the meeting, to take you valued views on the divergent issues and move forward accordingly. Sucharita mentioned that Vinod, an MBA (Finance) who is a member of the company for ten years wants to inspect the Register of deposits maintained by the company as required under the provisions of the Companies Act, 2013 and rules made thereunder. The secretarial officer of the company has refused to show the register for inspection, as Vinod did not divulge the reasons for inspection. She requested the other directors to look into the matter. Based on the above facts and integrated case, referring to the provisions of Companies Act, 2013, answer the following: (c) Comment on the validity of action of the secretarial officer in refusal of inspection of register of deposits.
Answer & Explanation:
According to rule 14 of the Companies (Acceptance of deposits) Rules, 2014, every company accepting deposits is required to maintain at its registered office one or more separate registers for deposits accepted or renewed in which prescribed particulars shall be entered separately in the case of each depositor. The provisions of the Companies Act, 2013 do not contain any stipulation governing the inspection of the Register for deposits and therefore it can be said that in absence of any enabling provision, this register is not open for inspection by members and company may refuse to open it for inspection. Accordingly, the secretarial officer of the company has not defaulted under any provision of the Companies Act, 2013 by refusing an inspection of Register of deposits to Vinod, member of the Company.
Topics: Acceptance of Deposits
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