Provisions for Directors : Companies Act 2013

provisions for directors under companies act 2013
provisions for directors under companies act 2013

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Below table summarizes the provisions for directors under Companies Act 2013 :

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Section Name Provisions
149(1) Minimum and Maximum number of directors 1. A Company shall have board of directors consisting of Individuals.

2. Minimum number of directors –

a) Public Company – 3

b) Private Company – 2

c) One Person Company – 1

3. Maximum Number of directors – 15. Company can appoint more than 15 directors by passing a special resolution in Genral Meeting.

149(3) Resident Director 1. Every company shall have one resident dorector.

2. Resident Director menas a person who has lived at least 182 days in India in the previous calendar year.

149(1) Second Provisio Woman Director Following companies to have atleast one woman Director –

a) Listed Company and Public Compny having paid up capital of Rs.100 Crore or more or

b) Listed Company and Public Compny having turnover of Rs.300 Crore or more.

149(6) Independent Directors Please read - Provisions related to independent directors under Companies Act, 2013.
161 Additional Directors Please read - Procedure for appointment of additional Director under companies Act 2013.
161(3) Nominee Directors 1. The Board May appoint any person as a director nominated by any institution in pursuance of the provisions of any law for the time being in force or of any agreement or by the Central Government or the State Government by virtue of its shareholding in a Government company.

2. Please note that Articles of association of the company should authorize company to appoint nominee directors.

161(2) Alternate Directors 1. A company may appoint alternate directors   if the articles confer such power on company or a resolution is passed. (if an Director is absent from India for atleast three months).

2. An alternate Director cannot hold the office longer than the term of the Director in whose place he has been appointed.

3. Additionally, he will have to vacate the office, if and when the original Director returns to India.

4. Any alteration in the term of office made during the absence of the original Director will apply to the original Director and not to the Alternate Director.

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Recommended Read -

Procedure for Resignation of director under Companies Act 2013

Procedure for appointment of Additional Director under Companies Act 2013

Provisions related to independent Directors under Companies Act 2013

 

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