Balancing Power: Analyzing The Impact Of Corporate Governance On Shareholder Rights In India
- IJLLR Journal
- May 15
- 1 min read
Debleena Biswas, CHRIST (Deemed to be University), Pune, Lavasa
Ajay Mathew John, CHRIST (Deemed to be University), Pune, Lavasa
ABSTRACT
This paper explores the critical role of shareholders in corporate governance, focusing on their rights to elect directors, sanction key business actions, inspect company registers, and the challenges posed by the power dynamics between majority and minority shareholders. Shareholders, as the true owners of a company, are empowered under the Companies Act, 2013 to participate in important decision-making processes, particularly through voting rights at general meetings. The right to elect directors, including the special provision for small shareholders under Section 151, ensures democratic participation in the company's strategic direction. Furthermore, the right to approve significant corporate actions such as mergers, capital restructuring, and winding up safeguards shareholder interests and promotes accountability of the board.
Keywords: Board of Directors, Corporate Governance, General Meetings, Minority Shareholders, Majority Shareholders, Shareholder Rights, Voting Rights.
