Hi Members..
I want to know the provisions of appointment of Managing Director in a public limited company.
Can a person (other than the existing directors) be appointed as Managing Director of the company?
Can he be appointed in a board meeting or the company will have to convene a general meeting?
Thanks..
Refer Section 198, 269, 309, 310, Schedule XIII of the Act.
Firstly a person has to be appointed as director only then he/she can be appointed as MD.
Approval at Board Meeting and General Meeting both is needed.
Others view solicited.
Thanks for your reply sir..
but please tell me can a director be appointed in a board meeting or the company will have to convene extraordinary general meeting for that purpose?
A person can be appointed as additional director and then MD in the same Board Meeting and then has to be regularise in general meeting alongwith the approval of shareholders for appointment of MD.
CAclubindia
