Director retire by rotation

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Armaan Bansal (Querist)
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04 September 2012 Dear All,

is it mandatory to appoint director in case director is retired by rotation.and company has expressly resolved not to filled the vacancy?

pls answer this, urgent.
Regards,
Mohit

Ajay Mishra

Ajay Mishra (Expert)
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04 September 2012 Hi

Please read sub section (4) of section 256 of the Companies Act, 1956.

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Armaan Bansal

Armaan Bansal (Querist)
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04 September 2012 Sir, i read that but i am in confusion, so sir pls clarify that if company expressly resolved not to fiiled the vacancy, than is there any requirement(mandatory)to appoint the director.pls sir clarify this.

Ajay Mishra

Ajay Mishra (Expert)
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04 September 2012 Hi

Yes, it a deemed provision and it is required to be complied.

First of all it is not a vacancy, if such director is liable to retire by rotation and he is not resigned from Board then he/she will be autometically reappointed if other person is not appointed out from out of the Board.

So u can not escape from such rotational appointment, because it is an ordinary business of the company.

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