Resignation of MD

Hi Niraj,

For private company, board resolution is enough for resignation of MD.

Regards,

Subbu

Dear Niraj,

If the MD is appointed by Shareholders in the General Meeting then the power of removal also vest on them.

First go through the Articles of the Company the procedure of there appointment.

If they are appointed by the Board then the Board has the power to remove them. And if they are appinted by the Shareholders in General Meeting, then the power of removal vest on the shareholders.

Regards

Shivi 

I think for accepting resignation of MD in a pvt or public company, Board Resolution is enough.

AGM/EGM usually do not resolve to accept resignation of MD, whomsoever appoints the MD.

Dear Madam Shivi Reddy

first thanks for your reply, actually we are not asking for removal of Md, we are asking how his resignation will be accepted in the company

Hi Niraj,

You can simply accept the resignation letter of MD in Board Meeting and file Form 32 with ROC.

Only take note in the BM by passing the following resolution would be enough....

Taking note of Resignation of Director

“RESOLVED THAT the resignation of Ms. Pallavi Mittal, Director of the Company, be and is hereby accepted with effect from the 29^th day of the July, 2003 and that the Secretary of the Company be and is hereby instructed to make appropriate noting in the Register of Directors accordingly and file Form No. 32 with the Registrar of Companies.”

In any kind of company the resignation can be accepted in Board Meeting and to file form 32 accordingly.

 I think if MD submits resignation and the board do not accept the same, MD can not be held liable for acts done after his resignation.The acceptance of his resignation is merely formality.Even  no provision has been found in the act itself.Membes pay please throw more light on my view.

Dear Ankur

-can we accept, the resignation in board meeting. and file form-32.

-then will be mentioned in Director report.