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Termination of a director

MCA 624 views 1 replies

chandrasekhar pv

manager

39 Points Joined September 2012

Dear sir

we have 3 directors, where 2 directors are having 100% stake, 3rd director has no stake.but he is the authorised signatory in our banking transactions. Now he is misleading the company and defame the company.

in these circumstances we would like to terminate with immediate effect. is there any provision to terminate him.

kindly advise

chandra sekhar

Replies (1)

Syam Kamal

Company Secretary

66 Points Joined June 2010

To terminate the authorisation to banking transactions- hold a board meeting and pass necessary resolutions for changing the authorised signatory for banking transaction. To terminate his director ship - Hold an Extra Ordinary General Meeting. Pass a resolution for removing his as a director as per section 284 of the Companies Act. Please note that you shoudl strictly comply witht the above section for his removal..i.e speical notice, circulation of the representation to the members etc..