Sec 256 of comapnies act clarrification.

Others 833 views 4 replies

Guest

As per sec 256 of the companies act - A retiring Director is deemed to be reappointed if it is not expressely resolved not to fill the vacancy even at adjourned meeting.unless-

A resolution whether special or odrinary is required for his reappointment.

Query-At AGM/GM every director has to be appointed atleast by passing an ordinary resolution i e majoriy of votes.this implies tat no retiring director can be deemed to be reappointed if the vacany of the retiring director is unfilled,cos every director to be appointed at AGM requires passing of an ordinary resolution.pls clarrify.

Replies (4)

Arvind Sharma

ACA

1432 Points Joined May 2009

My Dear Friend.,

You are going toward right conclusion.... :)

If in GM no director is appointed in order to fill vacancy, then the metting will get adjourned for next week for the same time and place automatically in which such appointment has to be made. And if in that adjourned meeting, the director is not appointed, no reappointment will deemed and the place of office of Director will remain vacant. In this eveint, BOD will make meeting to apoint additional director to maintaint strangth of Directors.

Guest

Originally posted by : Arvind
	My Dear Friend., You are going toward right conclusion.... :) If in GM no director is appointed in order to fill vacancy, then the metting will get adjourned for next week for the same time and place automatically in which such appointment has to be made. And if in that adjourned meeting, the director is not appointed, no reappointment will deemed and the place of office of Director will remain vacant. In this eveint, BOD will make meeting to apoint additional director to maintaint strangth of Directors.