Alternate ditector be an MD???

Hi Mishra,

There is nothing in the Act to prohibit such appointment. But as good corporate practice, it is better to avoid, as a person cannot act on behalf of two persons in the long run (MD for himself and Alternate director for another director)

Regards,

Subbu

The BoD of a co. may, if so authorised by its articles or by a resolution passed by the co. in general meeting, appoint an alternate director to act for a director during his absence for a period of not less than 3 months from the State in which meetings of the Board are ordinarily held.

An alternate director so appointed shall not hold office for a period longer than the period for which the original director hold office and vacate office if and when the original director returns to the State in which meetings of the Board are ordinarily held

Hi Amit,

Yes an alternate director can very much be appointed as MD subject to the office vacation conditions of an alternate director. Like he has to vacate his office whenever original director returns to the state.

Regards

RG

Hi,

Thank you all for your prompt replies.

Amit Mishra