Meaning of inndependent director
This query is : Resolved
23 September 2013
PLZ EXPLAIN THE MEANING OF THESE LINESIN CONTEXT OF INDEPENDENT DIRECTORS AS PER COMP.ACT2013
(b) (i) who is or was not a promoter of the company or its holding, subsidiary or
associate company;
(ii) who is not related to promoters or directors in the company, its holding,
subsidiary or associate company;
(c) who has or had no pecuniary relationship with the company, its holding,
subsidiary or associate company, or their promoters, or directors, during the two
immediately preceding financial years or during the current financial year;
(d) none of whose relatives has or had pecuniary relationship or transaction
with the company, its holding, subsidiary or associate company, or their promoters, or
directors, amounting to two per cent. or more of its gross turnover or total income or
fifty lakh rupees or such higher amount as may be prescribed, whichever is lower,
during the two immediately preceding financial years or during the current financial
year;
(e) who, neither himself nor any of his relatives—
(i) holds or has held the position of a key managerial personnel or is or
has been employee of the company or its holding, subsidiary or associate
company in any of the three financial years immediately preceding the financial
year in which he is proposed to be appointed;
(ii) is or has been an employee or proprietor or a partner, in any of the
three financial years immediately preceding the financial year in which he is
proposed to be appointed, of—
(A) a firm of auditors or company secretaries in practice or cost auditors
of the company or its holding, subsidiary or associate company; or
(B) any legal or a consulting firm that has or had any transaction
with the company, its holding, subsidiary or associate company amounting
to ten per cent. or more of the gross turnover of such firm;
(iii) holds together with his relatives two per cent. or more of the total
voting power of the company; or
(iv) is a Chief Executive or director, by whatever name called, of any nonprofit organisation that receives twenty-five per cent. or more of its receipts from
the company, any of its promoters, directors or its holding, subsidiary or associate
company or that holds two per cent. or more of the total voting power of the
(b) (i) who is or was not a promoter of the company or its holding, subsidiary or
associate company;
(ii) who is not related to promoters or directors in the company, its holding,
subsidiary or associate company;
(c) who has or had no pecuniary relationship with the company, its holding,
subsidiary or associate company, or their promoters, or directors, during the two
immediately preceding financial years or during the current financial year;
(d) none of whose relatives has or had pecuniary relationship or transaction
with the company, its holding, subsidiary or associate company, or their promoters, or
directors, amounting to two per cent. or more of its gross turnover or total income or
fifty lakh rupees or such higher amount as may be prescribed, whichever is lower,
during the two immediately preceding financial years or during the current financial
year;
(e) who, neither himself nor any of his relatives—
(i) holds or has held the position of a key managerial personnel or is or
has been employee of the company or its holding, subsidiary or associate
company in any of the three financial years immediately preceding the financial
year in which he is proposed to be appointed;
(ii) is or has been an employee or proprietor or a partner, in any of the
three financial years immediately preceding the financial year in which he is
proposed to be appointed, of—
(A) a firm of auditors or company secretaries in practice or cost auditors
of the company or its holding, subsidiary or associate company; or
(B) any legal or a consulting firm that has or had any transaction
with the company, its holding, subsidiary or associate company amounting
to ten per cent. or more of the gross turnover of such firm;
(iii) holds together with his relatives two per cent. or more of the total
voting power of the company; or
(iv) is a Chief Executive or director, by whatever name called, of any nonprofit organisation that receives twenty-five per cent. or more of its receipts from
the company, any of its promoters, directors or its holding, subsidiary or associate
company or that holds two per cent. or more of the total voting power of the
23 September 2013
Go to the following link, it may help you:
https://www.caclubindia.com/articles/the-companies-act-2013-provisions-relating-to-independent-directors-18363.asp#.Uj_3OhenyVE
https://www.caclubindia.com/articles/the-companies-act-2013-provisions-relating-to-independent-directors-18363.asp#.Uj_3OhenyVE
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- CLOSING STOCK QUERY
- ITR-Capital Gain
- Gst on travel by air for business purposes
- GST ISD Query on various AMCs
- Short Term Gain Reporting ITR
- DUE DATE FOR ITR FILING
- TDS on rent received on hardship compensation being rent on redevelopment of building
- Error in uploading Form 10BD
- Query regarding TDS on EPFO Higher Pension Arrears- under wrong section
- Taxation on Old jewellery sold
- 44AD, 44ADA business details
- PF wage ceiling
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
- EXPORT PAYMENT
- NRI ITR2 account in 2025-26.
- Query regarding reporting of exempt foreign remuneration in ITR (AY 2026-27)
- FEMA/RBI treatment — Amazon.ca arbitrage (US buy, Canada sell, goods never enter India)
- Goods return by customer
- INWARD REMITTANCE FOREIGN
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
