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Can a cs be a director??

Others 535 views 1 replies

roshan singh

ARTICLE ASSISTENCE

25 Points Joined January 2013

Hi Everyone,

I have a querry.

Can a Company Secretary of Listed Company can be a promoter, Director of another Company. Suppose, Mr. A is a Company Secretary of a Company listed on Stock Exchange both DIR 12 (for whole time appointment as CS) and MR1 (for appointment as KMP) has been filed with MCA.

Now Suppose. Mr. A want to start a new Company by becoming its promoter Director. Can he do so?? Do ICSI or MCA have any objection in this??

Please Guide.

Replies (1)

RAMESH KUMAR VERMA

Advocate

5974 Points Joined November 2014

As per third proviso to section 203 of the COMPANIES ACT, 2013 a company may appoint or employ a person as its MD, if he is the MD or Manager of one and not more than one other company with the consent of all directors present at meeting.