Appointment of director

This query is : Resolved

Kamal Vyas (Querist)
Follow

13 September 2013 Could a director of a company may be appointed as diretor in other company considering that suit against whom is pending...?

Ajay Mishra

Ajay Mishra (Expert)
Follow

13 September 2013 Suit is not sufficient reason to restrict a person from being appointed. Before appointment a person should not covered under section 274 of the Companies Act, 1956.

Ajay Mishra

Ajay Mishra (Expert)
Follow

13 September 2013
Section 274(1) of the Companies Act, 1956 provides that a person shall not be capable of being appointed as a director in a public limited or private limited company if:—
(a) he has been found to be of unsound mind by a Court of competent jurisdiction and the finding is in force;
(b) he is an undischarged insolvent;
(c) he has applied to be adjudicated as an insolvent and his application is pending;
(d) he has been convicted by a Court of any offence involving moral turpitude and sentenced in respect thereof to imprisonment for not less than 6 months, and a period of five years has not been elapsed from the date of expiry of the sentence;
(e) he has not paid any call in respect of shares of the company held by him, whether alone or jointly with others, and six months have elapsed from the last day fixed for payment of the call; or
(f) an order disqualifying him for appointment as director has been passed by a Court or the Tribunal in pursuance of section 203 of the Act and is in force, unless the leave of the Court or the Tribunal has been obtained for his appointment in pursuance of that section;
(g) such person is already a director in a public company which,—
(A) has not filed the annual accounts and annual returns for any continuous three financial years commencing on and after 1-4-1999; or
(B) has failed to repay its deposit or interest thereon on due or redeem its debentures on due date or pay dividend and such failure continues for one year or more:
Provided that such person shall not be eligible to be appointed as a director of any other public company for a period of 5 years from the date on which such public company in which he is a director failed to file annual accounts and annual returns under sub-section (A) or has failed to repay its deposit or interest or redeem its debentures on due date or pay dividend referred to in clause (B).

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Summarize this with AI

ChatGPT Perplexity Claude Google AI Grok

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

CA. MOHIT SHARMA

balamurugan

madhu sudan

Deepak Nayak

Rubal Singhal

Subscribe Now

Appointment of director

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Accountant

GST CONSULTANCY

Manager- Finance and Compliance

CA Final

GST CONSULTANT

Article Assistant