19 March 2015
Dear Experts, I want to Know if a CS in full time employment resigns from the office w.e.f 31.3.2015 and it may take 20-30 days in Filling the Vacancy by the organisation,and thus on 01.04.2015 the Office is Vacant and No Full Time CS is employed?? Will That be Considered as an Contravention of Sec 203 C.A.'2013??? Please Elaborate with Penalties and Prosecution..and if this is not in contraventioned what shall be done??
19 March 2015
If the office of any whole-time key managerial personnel is vacated,the resulting vacancy shall be filled-up by the Board at a meeting of the Board within a period of six months from the date of such vacancy- Section 203(4) of the Companies Act, 2013
19 March 2015
And if still the vacancy is not filed, then penalty of 1 lac to 5 lac may be imposed on the company. And every director and KMP who is in default shall be liable yo pay penalty of rupees 50,000.
On Company:Fine which shall not be less than Rs. 1,00,000/- but which may extend to Rs. 5,00,000/-
On every director and key managerial personnel of the company who is in default -Fine which may extend to Rs. 50,000/- and where the contravention is a continuing one, with a further fine which may extend to Rs. 1,000/- for every day after the first during which the contravention continues.
CAclubindia
