Shree Cement Limited, the new investors for East Bengal FC, registered a new company named ‘Shree Cement East Bengal Foundation’ with the Ministry of Corporate Affairs in early September. 

Subsequently, the company picked up the bid papers issued by FSDL (Football Sports Private Limited) to play in the ISL (Indian Super League) and submitted the same on Monday, September 14, to the organisers. 

But the sporting rights of East Bengal Football Club are still held by the company ‘East Bengal Club Private Limited’. To play in the ISL and to fulfill the AFC (Asian Football Confederation) licensing criteria it is mandatory that the sporting rights must be transferred to ‘Shree Cement East Bengal Foundation’ since it is the entity that has picked up the bid.

But first, the sporting rights must be given back to East Bengal Football Club by ‘East Bengal Club Private Limited’. Thereafter, Shree Cement East Bengal Foundation will take possession of the sporting rights. 

It must be noted that a similar procedure was followed when Quess came on board as East Bengal investors in 2018. The sporting rights were transferred back the club before it was handed over to Quess East Bengal FC.

This is expected to take place in an Extraordinary General Meeting (EGM) that will be hosted by the club in the last week of September. 

An EGM is a shareholder meeting which is convened apart from the company’s scheduled Annual General Meeting (AGM). An EGM is also called a special general meeting or emergency general meeting.

Certain events may require shareholders to come together on short notice to deal with an urgent matter, often concerning company management. The EGM is used as a way to meet and deal with urgent matters that arise in between the AGMs.

An EGM is generally called to deal with any matter that can’t wait until the next shareholders meeting. 

It is also likely that the shape of the new board of ‘Shree Cement East Bengal Foundation’ will take place that day. The two current directors of the company are Sunil Kumar Gupta and Sanjay Mehta.