SOAS Research Online

Abstract

In theory shareholders are reckoned to exercise complete control over theaffairs of the company in which they hold shares. But in actual practice corporate enterprise is not so democratic. I have ,therefore, divided this thesis into two parts. Part I deals with the mode in which shareholders may exercise control over thea affairs of the company and the manner in which the same can be enhanced. Chapter one gives in outline the back ground and the nature of the role played by shareholers in Pakistan. As company meetings are the proper forum where shareholders can determine the policy of the company and exercise a controlling influence over the management, the next three chapters deal with the various types of meetings, the nature of shareholders' participation therein and the types of business transacted thereat. Chapter five deals with the notice requirement for the holding of company meetings, and chapters six and seven describe the manner of voting and the conduct of these meetings. Chapter eight concerns how decisions are arrived at by shareholders present at company meetings. It, therefore deals with the resolutions and types thereof which are passed at such meetings. Part II of this thesis deals with the abuse of power by those in control and remedies thereto. In this regard chapter nine sets out the scope of majority rule and majority rights. In chapter ten remedies open to oppressed shareholders have been discussed and chapter eleven deals with protection of minority shareholders in amalgamation and reconstruction. In chapter twelve I have attempted to deal with the scope of administrative supervision and investigation of public companies as a means of improving the standard of management of companies and as a measure to safeguard the interest of shareholders. In the last chapter suggestions have been made as to how to improve shareholders participation and protect their intersts.