What are the legal provisions for removal of directors?

What are the legal provisions for removal of directors?

To Remove a Director Suo-moto by the Board A Company has the authority to remove a Director by passing an Ordinary Resolution, given the Director was not appointed by the Central Government or the Tribunal. A Board Meeting will be called by giving seven days’ notice to all the directors.

What are the provisions regarding appointment and removal of directors?

The Company may remove a Director before the expiry of the period of his office after giving him a reasonable opportunity of being heard, but the provisions of this section shall not apply to the Directors appointed according to the principle of proportional representation or by the Tribunal and Nominee Director …

What are the various powers of a director?

Power Exercised by Passing Resolution at Board Meetings

  • Make calls on shareholders.
  • Authorise the buyback of securities and shares.
  • Issue securities and shares.
  • Borrow monies.
  • Investing the funds.
  • Grant loans.
  • Approve the financial statement.
  • Approve amalgamation/merger.

How do I remove director companies Act?

Section 168(1) of the Act states that the shareholders can remove a director by passing an ordinary resolution at a meeting of the company.

Is MGT 14 required for removal of director?

Appointing any other person other than a retiring auditor as a statutory auditor. Removal of director before the expiry of the period of his office. Delegation of the powers by the board as specified under Section 179(3) clauses(d) to (f). Appointment of a managing director/whole-time director/manager.

What are the powers and duties of the director?

Powers and Duties of a Director

  • Power to make calls in respect of money unpaid on shares.
  • Call meetings on suo moto basis.
  • Issue shares, debentures, or any other instruments in respect of the Company.
  • Borrow and invest funds for the Company.
  • Approve Financial Statements and Board Report.
  • Approve bonus to employees.