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Removal of Nominee Director

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(Querist)
27 May 2010 Investor company has appointed a nominee director on our company's board. Now board of directors want to remove the nominee director. Is it possible to remove him u/s 284 of companies act 1956?
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CS Richa Sharma

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CS Richa Sharma (Expert)
16 June 2010 Directors appointed by the Central Govt. u/s 408 of the Act or by the Financial Institutions referred to in the Notes u/s 255 cannot be removed except by the authorities who had appointed them as in all such cases it is statutorily provided that the appointments are to have effect notwithstanding anything in the Companies Act,1956.
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abhijeet

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abhijeet (Querist)
02 July 2010 Resolved
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