TOPIC 37: QUICK REFERENCE TO “Basics of Directors ( Few aspects only)”

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Quick Reference to "Basics of Directors" ( Few aspects only)


Points:-

1. Executive Director is always in the employment of the Company. For ex. Managing Director.

2. Non- executive directors are not in the employment of the Company. For ex. Nominee Directors.

3. Directors are considered as Agent as well as officer of the Company.

4. Shadow director is also known as Deemed Director.

5. Independent Director does not include MD, WTD, Nominee Director.

6. DIN must be obtained by the Directors before Appointment.

7. In case of Listed & Public Company Minimum 2/3rd of Directors shall be rorational directors excluding Independent Director.

8. Additional Director shall hold office upto the Date of AGM only.
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9. No express power in AOA is required to fill a casual vacancy of Director.
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10. Alternate Director can be appointed in place of original Director who is absence for a period of 3 months or more from India.
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11. The Listed Company can elect small shareholder's Director upon the notice of Minimum 1000 small shareholders or 1/10th of total number of small shareholder's (whichever is lower).
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12. Two or more Directors cannot be elected by a single resolution except In case of Private Company and Govt Co. In which entire paidup capital is held by central govt. Or state govt. Or Central & State govt.
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13. Requirement:-
One Director in OPC. Two Director in Pvt.Co.
Three Director in Public Company.
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14. A Government company & Section 8 Company can have more than 15 Directors.
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15. Only Natural Person i.e. Individual Can become the Directors of a Company.
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Regards
ACA SOURAV BAGARIA