Directors in a Company

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Querist : Anonymous

Querist : Anonymous (Querist)

27 October 2010 Dear Experts

Please inform whether all the directors can be corporates in a company or atleast any one/two of directors has to be individual.

Ajay Mishra

Ajay Mishra (Expert)
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27 October 2010 Hi

All directors of the company should must be an individual. Only Individual can be appoint as director and company/body corporate are prohibited to be appoint as director.

Regards

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Ankur Garg

Ankur Garg (Expert)
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27 October 2010 Kindly refer section 253.

According to section 253 No body corporate, association or firm shall be appointed director of a company, and only an individual shall be so appointed.

Regards

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Querist : Anonymous

Querist : Anonymous (Querist)

27 October 2010 Dear Ajay / Ankur /Expert

Now, please also confirm whether 100% of shares of a company can be held by Body corporate or is it necessary/compulsory for individuals/directors to hold some shares.

Sooraj Nandan

Sooraj Nandan (Expert)
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28 October 2010 As far as concerned to private company the minimum requirement of members is two for public limited it is seven.So you have to compaly with the minimum requirements of members.

So 100% cannot held by a body corporate.

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Querist : Anonymous

Querist : Anonymous (Querist)

28 October 2010 Dear Mr. Sooraj / Expert

Can u please inform the relevant section

Thanks & Regards

CS Richa Sharma

CS Richa Sharma (Expert)
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28 October 2010 SECTION 253 of the Companies Act,1956 provides that No Body Corporate, Association or Firm shall be appointed Director of a Company ,and ONLY an INDIVIDUAL shall be so appointed.
Provided that no Company shall appoint or re-appoint any individual as Director of the Company unless he has been alloted a Director Identification Number (DIN) under section 266B of the said Act.

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Sooraj Nandan

Sooraj Nandan (Expert)
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28 October 2010 Please have a look on section 12 and section 45 of the Companies Act, 1956.

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