Appointment of MD - urgent !

Originally posted by : Neeta
	Hello members Please confirm me on this. 1. Can an NRI ( non resident ) be appointed as MD of a pvt ltd co. if not , what if he satisfies to be resident by being present for 182 days? 2. For the appointment of MD in a public co , he needs be a resident and the explanation provides for being resident he needs be in India for previous 12 months continously. Now if an NRI , non resident , is appointed as MD of a pvt co , whose articles are satisfied on this, and that pvt co gets converted into public , would the appointment of MD gets void. would the MD be required to vacate the office of MD after conversion. regards neeta

Neeta,

1. No Doubt, a pvt company can appoint NRI as MD. coz sec 269 is not applicable to pvt company. and also the compliances required under Sch XII is not reqd to a pvt ltd.

2. As soon as the conversion from pvt ltd to public company gets effective, the company vll hv to follow sec269 & sch XII. so MD vll be disqualified & must vacate his office. and for new appointment of MD, the company vll hv to comply wid Sec269 & also Sch XIII if applicable.

3. wenever conversion is made, aoa of company is altered including the point of appointment of MD.

Adarsh