DIRECTOR POSITION , DISQLALIFICATION AND APPOINMENT
TOPIC- COMPANY DIRECTOR
WWhhoo iiss tthhee DDIIRREECCTTOORR????
Acc. To the Sec.2(13) of INDIAN COMPNIES ACT 1956,
”Director includes any person occupying the position of the
director by whatever name called”
Director may be defined as an individual who directs ,
controls or manages the affairs of the company.
The directors of the company collectively are referred to as
the “board of directors” or “board”
IInnttrroodduuccttiioonn ooff ddiirreeccttoorr
A corporation has neither a mind nor a body of its own.
This makes it necessary that the company’s business
should be entrusted to some Human agents.
The Company is governed by the broad Policies
formulated by Board of Directors which requires
ethical behavior coupled with honesty.
AAppppooiinnttmmeenntt ooff DDIIRREECCTTOORRSS
The appointment of directors is accordingly regulated by the
Directors may be appointed in following ways:-
By the articles of association as regard first directors [sec.
By the company in general meeting [sec. 255, 264]
By the directors [sec. 260 , 262 , 313]
By third parties [sec. 255]
By the central government [sec. 408]
AAppppooiinnttmmeenntt bbyy tthhee ccoommppaannyy
[[SSeeccttiioonn 225555 ttoo 225577 ,, 226633 ,, 226644]]
Appointment of subsequent directors is made at every annual general
meeting of the company.
Section 255 provides that not less than two third of the total number of
directors of a public company or a private company must be appointed
by the company in general meeting.
The central government has the power under section 408 to
appoint directors on an order passed by the tribunal (earlier
company law board) to effectively safeguard the interest of the
company or its shareholders or the public interest to prevent
PPoossiittiioonniinngg rroollee iinn aa ccoommppaannyy
Attend at least one of the two meetings of the Board each year, one of
which is held in conjunction with the annual conference.
Attendance at both meetings is highly desirable.
Participate in monthly different conference & company meeting.
Be a member of and participate in the activities of at least one of the
working committees of the Board.
Attend the annual conference.
Participate in online Board discussions in at imely manner.
Participate in content development for website and/or annual
Who is disqualified by company act.
(1) personally insolvent,
(2) an undischarged bankrupt,
(3) disqualified by a court order for implication in dishonesty
i disqualifications inn aa ppuubblliicc && ppvvtt..
which he or she is a Director, has failed to file annual accounts and
annual returns or has failed to repay its deposits or interest thereon or
redeem its debentures on the due date or pay dividends declared.
LIST OF DIRECTORS DISQUALIFIED UU//SS 227744 ((11)) ((GG)) OOFF
CCOOMMPPAANNIIEESS AACCTT 11995566 aass oonn 2255--0033--22001144
ARYAN AVENUES LIMITED- Hyderabad
RASANDIK ENGINEERING INDUSTRIES INDIA LIMITED- delhi
ELAN DIAMOND TOOLS LTD – chennai
GENERA AGRI CORP LIMITED –Hyderabad
POORVA POWERGENCO LIMITED - Chennai
ACROPETAL TECHNOLOGIES - banglore
RReeaassoonn ffoorr DDiissqquuaalliiffiiccaattiioonn
Fail in Filing Annual Accounts and Returns
If a company has failed to repay any deposit
fails to repay any deposit, interest, dividend, fails to
redeem its debentures
continuing to trade to the detriment of creditors at a
time when the company was insolvent
failure to prepare and file accounts or make returns to
failure to submit tax returns or pay over to the Crown
tax or other money due