1.

Justify the following statement :A company secretary is the mouthpiece of the Board of Directors.

Answer»
  • A company secretary is normally appointed by the Board of Directors. 
  • He executes the decisions of the Board and carries out the instructions and orders of the board. 
  • He acts as a confidential clerk of the Board. 
  • He has to help the directors in framing the policies of the company and preparing progress reports and other reports. 
  • A company secretary acts as a line of communications between the Board and the staff. 
  • He acts as the mouthpiece of the Board, as the Directors act only through the secretary.
  • Every grievance of the staff is communicated to the Directors through the secretary. 
  • Hence, it is compulsory to appoint a secretary in Joint Stock Company. 
  • Thus, a company secretary is the mouthpiece of the Board of Directors.


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