Q.Explain the role of the Secretary in accepting and managing the deposits of a company.

Every statutory step this chapter describes — from the resolution to the annual return — has to actually be executed by someone, and that person is the Secretary.

Every statutory condition this chapter has studied — the resolution, the circular or advertisement, the Deposit Repayment Reserve, the credit rating, the trustee appointment, the annual return — must actually be carried out by someone inside the company, and in practice that someone is the Secretary, acting under the Board's authority. The Secretary's role can be organised into three stages of a deposit's life.

Before a company accepts or renews any deposit, the Secretary drafts the notice and resolution — an ordinary resolution for member deposits under Section 73(2), a special resolution for public deposits under Section 76 — for approval, and ensures it is properly passed and minuted. The Secretary drafts the circular or public advertisement in Form DPT-1, ensuring genuine disclosure of the company's financial position and credit rating, and files it with the Registrar within the statutory time limit — publishing it in an English and a vernacular newspaper for a public invitation under Section 76. For public deposits, the Secretary also coordinates the credit rating agency and trustee appointment, ensures the deposit trust deed (Form DPT-2) is executed before the invitation, and confirms the company genuinely qualifies as an eligible company.

Once deposits are accepted, the Secretary maintains the Register of Deposits at the registered office, issues the deposit receipt to each depositor within the statutory time limit, ensures the Deposit Repayment Reserve Account is funded by every 30th of April, arranges the annual refresh of the credit rating for public deposits, and handles ongoing correspondence with depositors — acknowledgments, queries, and duplicate-receipt requests. …

A common weakness is answering this question purely in terms of 'compliance paperwork' without organising the answer stage-by-stage (before / during / at maturity), which is exactly the structure MSBSHSE examiners look for. Students also often omit the Sec …