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Answer in One Sentence · Q3

Q.What is meant by "correspondence with members"?

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✓ Free question

Correspondence with members refers to the formal, written communication issued by a company — drafted and signed by the Company Secretary, under the authority of the Board — to the persons who hold its shares, addressed to them specifically in that capacity. It is distinct from correspondence with directors, banks, debenture-holders or depositors, because it concerns matters that arise only from a person's shareholding: allotment of shares applied for, calls on partly paid shares, refund on non-allotment, bonus and rights shares, transfer and transmission, and payment of dividend.

✓Final answer

It is the formal written communication a company's Secretary sends to its own members, in their capacity as shareholders, covering matters such as allotment, calls, regret/refund, bonus/rights shares, transfer/transmission, and dividend.

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