Q.State the occasions on which a Company Secretary has to correspond with the depositors of a company.

A deposit's life runs from acceptance to eventual renewal or repayment, and the Secretary writes to the depositor at each of these distinct points.

A Company Secretary corresponds with a depositor at several distinct points across the life of a deposit:

1. Acceptance of the deposit and issue of the Deposit Receipt — acknowledging that the deposit has been received and issuing the documentary evidence of the debt, within the 21-day statutory limit.
2. Payment of interest on the deposit — forwarding the interest due, as and when it falls due under the terms of the Deposit Receipt, stating any tax deducted at source.
3. Renewal of the deposit — writing well ahead of maturity to inform the depositor of the maturity date and amount, and offering the choice between renewal at the current rate or repayment.
4. Repayment of the deposit on maturity — repaying the principal, with any interest still due, on the exact maturity date, and closing the deposit once the discharged receipt is returned.
5. Regretting non-acceptance of a deposit application, with refund — where an application cannot lawfully be accepted (for instance, because it would exceed the statutory deposit ceiling), returning the money in full, promptly and honestly.

Each of these letters, whatever its specific occasion, must be on the company's letterhead, quote the Deposit Receipt number, state the precise information or request, list enclosures, and be signed by the Company Secretary.

Students sometimes list only acceptance and repayment, forgetting the ongoing interest-payment correspondence and the honest regret-and-refund letter, both of which are equally real occasions the syllabus expects a student to know.