What-constitutes-as-oppression-of-minority-shareholders-and-what-are-the-remedies-800×600-1

What constitutes as oppression of minority shareholders and what are the remedies?

Shareholders with voting rights are invited to general meetings with the purpose of voting for company matters. Such company matters requiring shareholders votes are matters such as the appointment of directors or the allotment of new company shares. In some cases, the shares held by one individual or a group of individuals may be insufficient to influence the decision and the shares held by the majority shareholder or shareholders may be enough to pass matters through. Certain matters, if passed, may be detrimental to these minority shareholders. Thus there is a provision in Section 216 of the Companies Act that protects the interest of minority shareholders.

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