appointment of new director at the AGM

This query is : Resolved

g pushpa latha (Querist)
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08 December 2010 Appointment of new director whose name is not mentioned in the articles before, but the appointment is within the limits of the AOA, Whether it is special business, is the members resolution required if yes whether ordinary or special tell me about the consequences of this?(whether it is a special business or ordinary business).

udit sharma

udit sharma (Expert)
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08 December 2010 Hi...

Appointment of Director at the GM of the Company will be treated as Special Business and an Ordinary Resolution is to be passed in the GM of the Company.Onlyappointment of Director in place of those retiring or re-appointment of Director retiring by rotation at the AGM of the Company is treated as an Ordinary Business....

God Bless

Udit Sharma

Jayashree S Iyer

Jayashree S Iyer (Expert)
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08 December 2010 Appointment of director in the place of those retiring will be an ordinary business as per Section 173(1)(a).

Hence if the appointment is made in AGM it will be ordinary business but if the appointment is made in EGM it will be special business.

Resolution will be ordinary unless the articles provide otherwise.