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30-04-2012, 04:44 PM
Controversy over Treasury China Trust AGM
A SHAREHOLDERS' meeting last week ended on a controversial note when the chairman called for a re-vote of a resolution after having declared that the company's annual general meeting (AGM) had ended.
Dissatisfied minority shareholder Mano Sabnani, who attended Treasury China Trust's AGM last Friday, claimed that the proper procedures were not followed.
He had earlier proposed an amendment to the third and last resolution, to limit certain share issuances from 20 per cent to 10 per cent of capital.
This amended resolution was seconded and then approved by a show of hands.
However, Mr Sabnani claimed that vice-chairman Stuart Leckie, who presided over the meeting, subsequently confirmed that the AGM was closed but then asked for the earlier resolution to be voted by poll - in its original form.
This had the effect of overriding the amended resolution that had been passed.
'(The chairman) belatedly decided that he wanted a poll on the third resolution relating to the issuance of shares. Polling on this resolution was carried out (after the) closure of the AGM, which made it out of order,' said Mr Sabnani.
'So (they made) two mistakes: when you call for a show of hands and you've agreed to a modification (to the resolution) and people have voted for it, you can't say sorry, I have a lot of proxies, I want to go back to polling the original,' said Mr Sabnani.
Voting by proxy occurs when a shareholder appoints someone he trusts to vote on his behalf.
'Second, when you close the AGM, you can't go back to open it again when the AGM is all over... Some shareholders would have left.'
At press time, Treasury China Trust had yet to make its regulatory filing on the outcome of the AGM.
A SHAREHOLDERS' meeting last week ended on a controversial note when the chairman called for a re-vote of a resolution after having declared that the company's annual general meeting (AGM) had ended.
Dissatisfied minority shareholder Mano Sabnani, who attended Treasury China Trust's AGM last Friday, claimed that the proper procedures were not followed.
He had earlier proposed an amendment to the third and last resolution, to limit certain share issuances from 20 per cent to 10 per cent of capital.
This amended resolution was seconded and then approved by a show of hands.
However, Mr Sabnani claimed that vice-chairman Stuart Leckie, who presided over the meeting, subsequently confirmed that the AGM was closed but then asked for the earlier resolution to be voted by poll - in its original form.
This had the effect of overriding the amended resolution that had been passed.
'(The chairman) belatedly decided that he wanted a poll on the third resolution relating to the issuance of shares. Polling on this resolution was carried out (after the) closure of the AGM, which made it out of order,' said Mr Sabnani.
'So (they made) two mistakes: when you call for a show of hands and you've agreed to a modification (to the resolution) and people have voted for it, you can't say sorry, I have a lot of proxies, I want to go back to polling the original,' said Mr Sabnani.
Voting by proxy occurs when a shareholder appoints someone he trusts to vote on his behalf.
'Second, when you close the AGM, you can't go back to open it again when the AGM is all over... Some shareholders would have left.'
At press time, Treasury China Trust had yet to make its regulatory filing on the outcome of the AGM.
