Sec 274(1)(g) of co. act

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CA Sahil Singla.. (Querist)

22 August 2011 I was reading 13th Edition by CA Munish Bhandari for CA Final. As per this edition, Sec. 274(1)(g) is not applicable to Private Limited Co.'s .

So, it menas that director of Public Co. defaulting U/s 274(1)(g) can become director in pvt co. ?

or a director of a pvt. co is not disqualified as per Sec 274(1)(g) ?

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)

22 August 2011 Concur with the view of Bandari Ji because
as per clause 3 of Companies (Disqualification of Directors under section 274(1)(g) of the Companies Act, 1956) Rules, 2003 it shall apply to all public limited
companies registered under the Companies Act, 1956.

So, 274(1)(g)is applicable only in case of public limited companies.

CA Sahil Singla..

CA Sahil Singla.. (Querist)

22 August 2011 Plz tell me whether it menas thaat Director of Public Co. disqualified u/s 274 1 g can become director of Pvt ltd. Co. ?

Saroja

Saroja (Expert)

22 August 2011 "A person shall not be capable of being appointed director of a Company"

and in section 274 (1)(g), there is mention of public limited Company for disqualification in respect of default.

Hence we can say that section 274 is applicable to all the companies but because of specific inclusion of word public company in clause (1) g. This is applicable only to pvt. company

**sec 274 (1)(g) of the companies act is not applicable to Govt. Company and small
shareholder director.

****https://blog.rna-cs.com/2010/04/applicability-of-section-2741g.html

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