AGMs by proxies will no longer be allowed from Jan. 2023 – CAC

The Corporate Affairs Commission (CAC) says guidelines on the use of proxies by public companies for Annual General Meetings (AGMs) will cease to apply from Jan. 1, 2023.

The CAC Registrars-General (RG), A.G Abubakar, said this at a one-day Independent Shareholders Association of Nigeria (ISAN) stakeholder’s dialogue with the theme: “CAC Guidelines on Proxies AGMS of Public Companies Post Covid-19: Matters Arising,” on Thursday in Lagos.

Abubakar, the Guest Speaker, was represented at the event by Mr Tolu Sonaike, Assitant Director, RG’s Office, CAC.

He said the guidelines would cease to apply after Dec. 31, noting that a public notice to the effect was issued on Monday.

“Accordingly, all public companies that have been granted approval to hold their AGMs using proxies are expected to do so not later than this date.

“A public notice to this effect was issued on Monday, Nov. 21, ” he said.

Abubakar recalled that the guidelines on the use of proxies by public companies in holding AGMs were issued to address particular concerns during the COVID-19 pandemic and facilitate compliance by these companies with statutory obligations.

He noted that the compelling circumstances of the pandemic, which necessitated the guidelines had ceased to exist.

Abubakar urged public companies to ensure compliance with the new directive.

“Notwithstanding whatever benefits holding AGMs by proxies may have afforded the companies, the option is at the instance of individual members of the company and may not be foisted on any member,” he said.

He commended ISAN for being a proactive association committed to the interest of its members and the economy at large.

Sir Sunny Nwosu, Coordinator Emeritus and Chairman of ISAN Universal Academy, said the association would continue to engage with market regulators for the development of the market and economy in general.

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