Independent director

Shilpa (Company Secretary) (234 Points)

08 September 2014  

Dear Professionals,

I have a query that whether Independent Director can hold any shares in a Company...?

sec 149 (6)(e)(iii) says that an Independent Director can hold along with his relative not more than 2% of the total voting capital of the Comapny.

It means Independent can hold shares alongwith his relative only upto 2%.

But Sec 149(9) says that an independent Director cannot hold any stock option in the Company...then what is the significance of this section..?