alternate director be an existing director

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

08 January 2011 A director wants to appoint an existing director of the same company as his alternate director. Is this possible. Any violations. Pl clarify

udit sharma

udit sharma (Expert)
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08 January 2011 Hi...

An existing Director of a Company can not be appointed as an Alternate Director to any Director of the same Company....

My reasons are as under:

1. There is no restriction in the Companies Act, 1956 prohibiting such appointement but there can be quorum issues in conducting a Board Meeting,

2. Besides, when an Alternate Director os appointed, you will have to file Form 32 for his apponintment.But when a person is already appointed as Director in a Company, there can be issued in uploading Form 32 for the same Director appointed as Alternate Director to a Director of the same Company. Similar issues are bound to arise in uploading Form 32 for cessation of office of Alternate Director as and when the Original Director returns....

Views of eminent experts are welcome....

Regards

CS Udit Sharma

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