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Subsidiary companies

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18 July 2012 if the director's of two companies are same then what is relationship between those companies... whether relationship is holding-subsidiary or not
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Ajay Mishra

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Ajay Mishra (Expert)
18 July 2012 Hi


As per section 4(1) (a) of the Companies Act, the other co. will be treated as subsidiary, if other control the composition of Boards of directors.

If the directors of two companies are same then it will be treated as same group company and name as "same management company" as per section 370(1B) of the Companies Act, 1956.
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