January 20, 2022 (MLN): Crescent Star Insurance Limited (CSIL) has informed through a notice to exchange that the Extra Ordinary General Meeting (EOGM) of Dost Steels Limited will be held on Friday, 11 February 2022 to consider and pass the resolution for the removal of current directors of DSL.
CSIL with the support of members of DSL who collectively represent more than 10% of the voting power had requisitioned an EOGM to transact the business. The said requisition was submitted on 28-12-2021, however, despite the lapse of the statutory limit of 21 days, the board of directors of DSL has failed to call EOGM.
The following resolutions will be considered and passed in an upcoming meeting:
Removal of current directors of DSL on the following grounds:
The current directors of DSL have shut down the plant and have defaulted in repayment of the company's loan repayments towards banks. Further, there is no concrete plan or future course of action being given by the current board of Directors. The general public who holds 75% of the company's shares is being deprived of their investment in DSL due to the flawed policies of the current Board of Directors.
Board of Directors who belong to one family whilst acting in concert are expensing out a total salary of Rs.41.39 million per year under different heads from a non-operational company at expense of the general shareholders.
Another proposed resolution is to fill the vacancy of the board by appointment of new directors.
Further, as per the notice, the proposed resolution is to appoint an audit firm to look into the working expenses of DSL for the year 2019 up till now.
