executive or non-executive director

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seema singla (Querist)
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08 July 2009 What is the basic diff. between an executive and non-executive director.
Can A person become an executive director in more than one company???????????
A person has four companies. He is director in all companies and looking after the activities of all of them. He can be an executive director in all of them or not???????????????

Ankur Garg

Ankur Garg (Expert)
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08 July 2009 Hi Seema,

Normally MD/WTD and a director drawing salary are considered as executive director. Rest of the directors are considered as Non-executive directors. Promoters of the company are not executive director automatically.

Yes a person can become an executive director in more than one company.

A person looking after the activities of all the 4 companies as director can be executive director in all 4 companies.

Regards

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