Appointment of MD in subsidiary company

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

02 August 2010 Whether approval of Holding Company is required for appointment of Managing Director in its Subsidiary ? (the proposed appointee is already a director of the subsidiary)

Jagruti (CS)

Jagruti (CS) (Expert)
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02 August 2010 No Specific Approval . Just shareholders approval is required.

Querist : Anonymous

Querist : Anonymous (Querist)

02 August 2010 That means approval of shareholders of holding company is required, is that so?

Jagruti (CS)

Jagruti (CS) (Expert)
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02 August 2010 No, only of members of Suubsidiary Company which includes holding Company. No specific approval otherwise

Querist : Anonymous

Querist : Anonymous (Querist)

02 August 2010 Pls Clarify, only Board resolution is sufficient for appointing a director as MD right?

Jagruti (CS)

Jagruti (CS) (Expert)
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02 August 2010 No you need to get shareholders approval in next general meeting by way of Ordinary resolution in Public Company.

For Private Company Board Resolution will do.

Querist : Anonymous

Querist : Anonymous (Querist)

02 August 2010 That means for Pvt Company only Board Resolution is sufficient, no need of approval of Holding Company right?

Thanks a lot Jagruti ma'am.

Jagruti (CS)

Jagruti (CS) (Expert)
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03 August 2010 Yes in Pvt Co. only Board resolution is required for MD appointment

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