CDSL Ventures introduces e-voting system for corporates
November 19, 2009
In a move that will be cheered by the common shareholder, CDSL Ventures Limited (CVL) has launched an e-voting service that will enable shareholders to cast their vote from the comfort of their homes. CVL is a wholly-owned subsidiary of Central Depository Services (India) Limited (CDSL). At a function held at the BSE International Convention Hall on Tuesday, Salman Khurshid, minister for corporate affairs inaugurated the e-voting system for corporates.
This first of its kind initiative in India would allow companies to set up a schedule for e-voting on the concerned website (www.evotingindia.com) and upload the resolutions to be taken up for voting at the general body meetings. A register of shareholders would also be uploaded on the website. CVL would then generate and print a password for each shareholder, using which each shareholder can access the e-voting website and cast his votes at any time during the voting period.
Not only will shareholders be more empowered through the new system, but companies would also stand to benefit on several counts. S S Thakur, chairman, CVL said, “The e-voting system launched by CVL will empower shareholders to participate in the decision-making process of companies in which they have invested, thus making their vote count. Companies would also benefit from this system as the remote voting process would become quicker, accurate and result in savings on various cost overheads which are currently incurred for postal ballots.”
Mr Khurshid praised the initiative, saying it was a major step forward that would usher in a new corporate culture. He suggested that the system should be replicated during voting for general elections also.
The service would initially be offered free of cost for the companies, except for out-of-pocket accruals. However, for this system to come into effect, several amendments in the Companies Act would be necessitated in relation to shareholder voting. These would most probably be discussed during the tabling of the new Companies Bill in Parliament. –Sanket Dhanorkar [email protected]