Qualification shares

If article 66 is adopted in your AOA then director has to take qualification shares otherwise not.

Hence it is not necessary to take qualification share and only when article 66 is explicitely adopted then only it is applicable otherwise not.

Regards

check the provision in AOA of ur company. if there is no specific provision, then table A will apply and accordingly one share needs to be acquired.

DEAR  DIPESH,

                          SEC.270 STATES THAT A PERSON INTENDING TO BECOME THE DIRECTOR OF A COMPANY NEEDS TO OBTAIN QIALIFICATION SHARES WITHIN TWO MONTHS OF APPOINTMENT, AS PROVIDED BY THE ARTICLES OF THE COMPANY. IF HE FAILS TO OBTAIN WITHIN THE STIPULATED PERIOD OF TWO MONTHS HE WOULD BE  LIABLE TO A  FINE OF FIVE THOUSAD RUPEES FOR EVERY DAY DURING WHICH THE DEFAULT CONTINUES.

IT SHOULD BE NOTED THAT ARTICLES CANNOT PROVIDE FOR OBTAINING QUALIFICATION SHARES BEFORE HIS APPOINTMENT AS DIRECTOR - IT IS ONLY  WHEN HE BECOMES OR IS APPOINTED AS DIRECTOR OF A COMPANY HE IS REQUIRED TO OBTAIN QUALIFICATION SHARES.

REGARDS..

TANVEER.

DEAR  DIPESH,

                          SEC.270 STATES THAT A PERSON INTENDING TO BECOME THE DIRECTOR OF A COMPANY NEEDS TO OBTAIN QIALIFICATION SHARES WITHIN TWO MONTHS OF APPOINTMENT, AS PROVIDED BY THE ARTICLES OF THE COMPANY. IF HE FAILS TO OBTAIN WITHIN THE STIPULATED PERIOD OF TWO MONTHS HE WOULD BE  LIABLE TO A  FINE OF FIVE THOUSAD RUPEES FOR EVERY DAY DURING WHICH THE DEFAULT CONTINUES.

IT SHOULD BE NOTED THAT ARTICLES CANNOT PROVIDE FOR OBTAINING QUALIFICATION SHARES BEFORE HIS APPOINTMENT AS DIRECTOR - IT IS ONLY  WHEN HE BECOMES OR IS APPOINTED AS DIRECTOR OF A COMPANY HE IS REQUIRED TO OBTAIN QUALIFICATION SHARES.

REGARDS..

TANVEER.