Notice by Interested Directors

Save Share

This query is : Resolved

Megha Gupta (Querist)
Follow

19 January 2009 Is this Compulsory for every Director of the Company to give notice of his interest every year pursuant to sec 299 of Co's Act,1956 or if yes, in which month it is to be given?

CS Arpita Rajpurohit

CS Arpita Rajpurohit (Expert)
Follow

19 January 2009 Every director of a company who is in any way, whether directly or indirectly, concerned or interested in a contract or arrangement, or proposed contract or arrangement, entered into or to be entered into, by or on behalf of the company, shall disclose the nature of his concern or interest at a meeting of the Board of Directors.

a general notice given to the Board by a director, to the effect that he is a director or a member of a specified body corporate or is a member of a specified firm and is to be regarded as concerned or interested in any contract or arrangement which may, after the date of the notice, be entered into with that body corporate or firm, shall be deemed to be a sufficient disclosure of concern or interest in relation to any contract or arrangement so made.

Any such general notice shall expire at the end of the financial year in which it is given, but may be renewed for further period, of one financial year at a time, by a fresh notice given in the last month of the financial year in which it would otherwise expire.

hope this is clear. if any further doubt....u can ask.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now