Which directors are liable for rotation ?

This query is : Resolved

Guest

Guest (Querist)

15 September 2009 Query regarding Rotational Directors :

ABC Limited has three First Directors on it's board.

How we determine the rotational director, out of the above three First Directors ?

I look forward to receive the response.

CP Ram

CP Ram (Expert)
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15 September 2009 As per section 255, not less than 2/3rd of total number of directors shall be the directors whose period of office is liable to determination by retirement by rotation (any fraction contained in that 2/3 shall be rounded off as one)

And as per section 256, at the first AGM and every subsequent AGM 1/3rd (or nearest to 1/3rd) of directors liable to retire by rotation shall retire from the office.

In view of the above provisions:

1) Number of Rotational Directors = 2 directors and

2) Number of Director who shall retire at the first AGM and every subsequent AGM = 1 director.

Ankur Garg

Ankur Garg (Expert)
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16 September 2009 Provisions connected with rotational retirement are not applicable to the first director of the company.

Read sub section (1) of section 256 very carefully.

Regards

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