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Monday, January 7, 2008

Administrative Officer

Administrative Officer
As a general administrative officer, he is responsible for efficient administration of the
company. The secretary has to ensure that the policies of the company are duly carried
out. He has to, at times, supervise, control and co-ordinate the functioning of different

departments such as finance, personnel. The best possible results can be achieved by
having a sound organisational structure. The company secretary is in such a position
that he can have an overall view of different aspects of company administration and
can develop a strong and efficient organisational structure.
The company secretary has to play an important role in financial administration.
He is to analyse the financial statements and recommend suitable steps. Though in
large-sized companies, the financial part is looked after by a financial expert, the
secretary is to assist the Board in laying down the policies and dealing with the
Government and financial institutions. The secretary has also an important role to play
in the personnel administration of the company. He can render valuable advice to the
Board regarding the recruitment, training, remuneration, promotion, retirement, discharge,
discipline of the staff.
The company secretary has to ensure the safety and proper maintenance of the
assets and properties of the company. He has to ensure that they are not misused. He
has to see that the property and other records are properly insured against loss by fire
and other risks. The company secretary has to ensure that the records are maintained
properly. With the fast changes taking place, a company secretary is expected to play
a still more important role in the administration of the company.
Explain the term ‘secretary’ and elucidate his role as a co-ordinator.
The Companies (Amendment) Act, 1988 has defined the term ‘secretary’ in
“Secretary means a company secretary within the meaning of clause © of subsection
(1) of Section 2 of the Company Secretaries Act, 1980, and includes any other
individual possessing the prescribed qualifications and. appinted to perform the
duties which may be performed by a secretary under this Act and any other ministerial
or administrative duties.”
This definition has brought the definition of ‘secretary’ in line with the definition
of ‘company secretary’ contained in the Company Secretaries Act, 1980. Act defines a company secretary as a person who
is a member of the Institute of Company Secretaries of India.
As per Section 383-A of the Companies Act, every company having a paid-up
share capital of Rs. 2 crores or more (w.e.f. 11.6.2002) must appoint a whole-time
secretary. The Companies (Amendment) Act, 1988 has added a new sub-section (I-A)
to Section 383-A providing penal provisions for non-compliance of statutory requirement
of appointment of a whole-time secretary.
Now, a company secretary plays an important role in the company administration.
He plays a three-fold role-as a statutory officer, as a co-ordinator and .as an
administrative officer.

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