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YOGYAKARTA - Have you heard of the Rups? What do you think it's a Rups? Well, let's find out who doesn't know here!

The General Meeting of Shareholders aka the GMS is a forum used by companies to talk and ask with their shareholders. In the GMS, shareholders can share their voices about various issues, such as the addition of new directors, changes in the lower budget, and dividend distribution.

The GMS is generally held regularly every year and shares opportunities for shareholders to understand the situation and prospects of the industry and think about whether they want to continue holding the shares or not.

The authority of the GMS

The General Meeting of Shareholders is regulated in Article 1 point (4) of Law Number 40 of 2007 concerning Limited Liability Companies (UUPT). The GMS is part of a Limited Liability Company and has certain powers that are not granted to the Board of Commissioners/Directors in the limits that have been set in the Law and the lower budget. In other words, the GMS is the holder of the highest power in the Limited Company.

The following is the authority of the GMS that the Board of Directors and Board of Commissioners cannot try:

The purpose of the GMS

The purpose of the GMS is to facilitate communication and consultation between industry and shareholders. This allows shareholders to recognize the atmosphere and prospects of the industry, and share opportunities for them to share input and share votes on various meaningful issues that influence the industry. Part of the special goals of the GMS include:

Share information

The GMS shared meaningful information about the financial and industrial business performance, so that shareholders can control the atmosphere and prospects for the industry.

Type of GMS

Match the legal basis of the GMS mentioned above. GMS is divided into 2 types, namely Annual GMS and Extraordinary or special GMS.

Annual GMS

Annual GMS, namely the GMS held annually by the company to ask questions and talk with shareholders. In the Annual GMS, shareholders can share their votes and share inputs on various matters that affect the industry, such as the addition of new directors, changes in the lower budget, and dividend distribution.

Extraordinary/Special GMS

The GMS is extraordinary, namely a special GMS held to regulate certain issues that influence the industry. The GMS It is extraordinary to be held at any time because there is a significant change in the atmosphere of the industrial business, such as acquisitions or mergers, or because of the existence of issues that require shareholder approval.

The two types of GMS have the same goal, namely facilitating communication and consultation between industry and shareholders, and justifying that the industry operates well and matches the expectations of shareholders. However, the Annual GMS focuses more on regular issues that influence the industry, while the Extraordinary GMS focuses more on special issues and means that influence the company.

Procedures For The Implementation Of The GMS

Annual GMS must be held within a very slow period of 6(6) months after the end of the financial year. In Article 66 of the Law, it is stated that the Board of Directors submits an annual report to the GMS and must fit at least:

Unlike the Annual GMS, the Extraordinary GMS can be held at any time sourced to the needs of the Company's interests. For example, if the company wants to change the board of directors and board of commissioners, change the names, place of role, period of the company's establishment, and other matters that require approval from shareholders. Until an Extraordinary GMS can be done.

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