Vinod, Chairperson of the Monika Ltd. is going to USA for official work and instructed to the Company Secretary for signing of Board's Report in his absence from other directors of the Company. Whether the other director
CS Professional · Advanced Company Law and Practice · PYQS · December 2020
Vinod, Chairperson of the Monika Ltd. is going to USA for official work and instructed to the Company Secretary for signing of Board's Report in his absence from other directors of the Company. Whether the other directors can sign the Board's Report? If yes, explain the provisions for signing of Board's Report in the absence of Chairperson in the Company. What would be your answer if this company is One Person Company.
Answer & Explanation:
As per section 134(6) of the Companies Act, 2013, the Board's report and any annexures thereto shall be signed by its chairperson of the company, if he is authorised by the Board and where he is not so authorised, shall be signed by at least two directors, one of whom shall be a managing director of the company, or by the director, where there is one director. Hence, in the instant case, in the absence of the Chairperson of the Monika Ltd. the other Directors of the company can sign the Board Report, in accordance with the above provisions. If the Monika Ltd. is a One Person Company (OPC) having only one director, then such director shall sign the Board Report.
Topics: Board's Report
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