Section 1

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

29 March 2015 Please tell me the meaning of sec1(3) of c act 2013."any reference in any provision to the commencement of this act shall be construed as a reference to the coming into force of that provision."

CA SACHIN SINGH

CA SACHIN SINGH (Expert)
Follow

29 March 2015 This is talked about for the sections for which law is not fully made. The explanation (reference) for the that sections shall be given lateron.
Just taking a section from bare Act for clarity:
Section 149. (1) Every company shall have a Board of Directors consisting of individuals as
directors and shall have—
(a) a minimum number of three directors in the case of a public company, two
directors in the case of a private company, and one director in the case of a One Person
Company; and
(b) a maximum of fifteen directors:
Provided that a company may appoint more than fifteen directors after passing a
special resolution:
Provided further that such class or classes of companies as may be prescribed, shall
have at least one woman director.

Now, read point (b), "Provided further that such class or classes of companies as may be prescribed", shall
have at least one woman director.

Now, question arise, “what is such class or classes of companies”?
Now try to understand, law says that such class or classes of companies------------ as may be prescribed. i.e. such class or classes of companies shall be prescribed later on by RULE, NOTIFACATION, CIRCULAR etc.
Now as per reference/ explanation / Rules provided by MCA for appointment of woman director,
1. Every listed company shall appoint at least one woman director within one year from the commencement of the second proviso to Section 149(1) of the Act.

2. Every other public company having paid up share capital of Rs. 100 crores or more or turnover of Rs. 300 crore or more as on the last date of latest audited financial statements, shall also appoint at least one woman director within 1 year from the commencement of second proviso to Section 149(1) of the Act.

Any reference in any provision (above two point 1 & 2 given as a reference in section 149) shall construe as a reference (means "such class or classes of companies as may be prescribed" has been replaced by point 1 & 2).

Querist : Anonymous

Querist : Anonymous (Querist)

31 March 2015 Thank u sir.I got it very clearly

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