As per listing agreement for independent Director, the leesor can not be an Independent Director, However, LA again spells that the Nominee Director of Financial Institution is Independent Director.
My Querry:
my commpany has availed lease finance from a financial Institution (FI). so can the Directors of the FI be treated as Independent directors.
Can U pls clarify @ earliest as it's bit urgent.
Thanks
Lalit
Hi
Nominee Director is appointed by Financial Institutions. Nominee director is considered as independent director for the purpose of provisions of Corporate Governance applicable to listed company.
Regards
Ofcourse the nominne director shall be treated as the Independent Director and as the Listing Agreement itself clarifies that "Nominee directors appointed by an institution, which has invested in or lent to the company shall be deemed to be independent directors.":
Regards
Priya sharma
For information its not financial Institution but a NBFC. So Can Nominee Director of NBFC be treated as Independent Director.
Regds
Lalit.....
No issues at all even then. Institution would include NBFC also.
Saini Pati Shah & Co LLP, Chartered Accountants
Mumbai
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