Holding of meeting of Board of Directors by video conferencing does not mandatorily require prior intimation from Directors at the beginning of the calendar year. Comment on the above statement.

Section 173(2) read with Rule 3 provides for the procedure for convening and conducting the Board meetings through video conferencing or other audio visual means. Rule 3(3)(c) provides that a director intending to participate through video conferencing or audio visual means shall communicate his intention to the Chairperson or the Company Secretary of the company. Rule 3(3)(d) If the director intends to participate through video conferencing or other audio visual means, he shall give prior intimation to that effect sufficiently in advance so that company is able to make suitable arrangements in this behalf. Rule 3(3)(e) provides that any director who intends to participate in the meeting through electronic mode may intimate about such participation at the beginning of the calendar year and such declaration shall be valid for one year. However, such declaration shall not debar him from participation in the meeting in person in which case he shall intimate the company sufficiently in advance of his intention to participate in person. In the light of above, the statement that holding of meeting of Board of Directors by video conferencing does not mandatorily require prior intimation from Directors at beginning of the calendar year is correct. However, he needs to give prior intimation to that effect sufficiently in advance so that company is able to make suitable arrangements in this behalf.