19 September 2013
I am a CA final student. I have a query
regarding the existing Companies Act.
Proviso to clause g of Sec 274(1) states:
"Provided that such person shall not be eligible
to be appointed as a director of any other
public company....."
ICAI in its practice manuals & suggested
answers says that the director cannot be
appointed director of any other public company
"except the existing ones". According to ICAI
neither sec 274 nor sec 283 have grounds for
disqualification or vacation of office of
directors in companies where they are already
directors.
I request the learned members to please
comment whether this interpretation of ICAI is
correct or not.
Thanks!!!!!
CAclubindia
