Directors practices that would promote and protect shareholders rights include:
- Ensuring that members have equitable terms in all that they do.
- Availment of information on the performance of the company.
- Ensuring that there is a secure method of transfer and registration of securities.
- Ensuring that shareholders are aware of their rights to participate in company affairs and vote in general meetings.
- Encouraging members to participate in deliberations at general meetings by way of questions and making substantive contributions.
- Recommending dividend regularly.
- Put in place an effective communication policy between the company and its members, creditors and other stakeholders.
- Ensuring that annual reports and accounts give a clear indication as to the company?s financial performance and prospects.
- Encourage and facilitate the establishment of a shareholders association to promote dialogue between the company and its members.
- Having a director's charter in place.
- Distinguishing the roles of executive and non-executive directors and regular appointment of directors.
marto answered the question on February 7, 2019 at 07:28
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