HL Deb 27 October 1981 vol 424 c998

99 Clause 50, page 56, line 28, at end insert ("on or").

Lord Lyell

My Lords, I beg to move Amendment No. 99, and at the same time I wish to speak to Amendment No. 101. Amendment No. 99 seeks to remove any uncertainty as to whether the special resolution of the company which authorises payment out of capital for a purchase or for a redemption of the company's own shares may be passed on the same day as the associated statutory declaration which has to be made by the directors. At the moment the clause requires the resolution to be passed within one week of the date of the declaration. The amendment makes it clear that the two may happen on the same day, because this may be more convenient for companies; for example, by avoiding the need for directors to meet on two different days within the one week.

The purpose of Amendment No. 101 is to ensure that members of the company are able to see and indeed to inspect the directors' statutory declaration and also the auditors' report before they vote on the special resolution. This would enable members to check that the statutory requirements of Clause 50 have been complied with. I beg to move.

Moved, That this House doth agree with the Commons in the said amendment.—(Lord Lyell.)

On Question, Motion agreed to.