Alternate Director

Hi

In a Private Ltd Company there are two directors, one of whom in abroad, in AOA there is a clause for alternate director.

1.Can the company appoint alternate director what are steps to be followed? if the person going to be authorised as alternate director is already a director in another company what is the procedure when we go for annual filing?

2.The director is mentioned as NRI above have not any intention to return india in another 8 months.

Kindly clarify me the appointment and procedures for alternate directors.

Hi dude ...

 Yes, company can appoint alternate director since it is provided in AoA.

 Procedure is to convene Board Meeting and pass a resolution to appoint alternate director.

 (However, don’t involve Sec. 257 over here since alternate director is going to be appointed in BoD meeting and not in GM.)

 An individual who is already a director in another companies (assumed no. of other companies are in limit) can be appointed as alternate director.

 No separate procedural impact will be there for Annual filing. Follow routine procedure.

 Intention of not returning for 8 months is enough for appointment of alternate director.

Eagerly awaiting for other valuable views.