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Question
Justify the following statement.
The company secretary should take certain precautions while corresponding with debenture holders.
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Solution
- Debenture holders are creditors of the company.
- The company secretary has to communicate the decisions of the management and other information to debenture holders through correspondence.
- While writing letters, a secretary should provide correct, up-to-date, and factual information to the debenture holders.
- He should be prompt in replying to any queries or complaints of debenture holders.
- He should not give out sensitive and confidential information about the company. He should always strive to maintain a good image of the company.
- The secretary should follow the provisions of the Companies Act, 2013, and its latest amendments.
- Most importantly, he must use courteous language during all his correspondence.
- Thus, the company secretary should take certain precautions while corresponding with debenture holders.
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Answer in brief.
Which are the precautions to be taken by the Secretary while corresponding with debenture holders?
Answer in brief.
What are the circumstances under which correspondence can be made with debenture holders?
