Tuesday, August 7, 2012

Regulators ask National Hydro to hold AGM within August 21

The Company Registrar's Office has directed National Hydropower to hold its aborted annual general meetings (AGM) by August 21.
Last week, a meeting held between District Administration Office, Company Registrar's Office, and Securities Board of Nepal, had decided to direct National Hydropower to hold its 14th and 15th AGMs within the said time frame. Likewise, the Company Registrar's Office has also ordered the company to reappoint Growmore Merchant Banker as its share registrar and hold a meeting within August 21.
"If the company fails to hold the annual general meetings within the prescribed date then the existing directors of the company will face blacklisting by Sebon that will not only make them pay a financial penalty but also bar them from being in the executive board of any listed company," said director at National Hydropower's board representing public shareholders Prakash Rajaure.
National Hydro's AGMs held on July 1 after much struggle on the part of the investors had remained inconclusive following a disagreement regarding the validity of the proxies.
Company Registrar's Office, District Administration Office and Sebon have validated the proxies used in the cancelled annual general meeting. The company had been putting off its AGMs for the last three years.
NB Group holds 20 per cent stake in the company and is blamed by the shareholders for trying to take the company down and for large scale fund misappropriation.
"During the aborted annual general meeting on July 1, NB Group favoured directors who had lost in the elections so they rejected the validity of the proxy voters," said another public director at National Hydropower Deepak Karki.
The company has to publish a notice regarding its annual general meeting seven days prior to holding it. National Hydropower has 13,863,462 unit shares listed at Nepal Stock Exchange with about 10 million units owned by about 6,000 minority shareholders.

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