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Justify the following statement :A company secreta...
1.
Justify the following statement :A company secretary is the mouthpiece of the Board of Directors.
Answer»
A company secretary is normally appointed by the Board of Directors.
He executes the decisions of the Board and carries out the instructions and orders of the board.
He acts as a confidential clerk of the Board.
He has to help the directors in framing the policies of the company and preparing progress reports and other reports.
A company secretary acts as a line of communications between the Board and the staff.
He acts as the mouthpiece of the Board, as the Directors act only through the secretary.
Every grievance of the staff is communicated to the Directors through the secretary.
Hence, it is compulsory to appoint a secretary in Joint Stock Company.
Thus, a company secretary is the mouthpiece of the Board of Directors.
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