Ragul, a director in XYZ Ltd., did not attend the Board meetings held for a period of 12 months after seeking leave of absence. Though as per Section 167(1)(b) of the Companies Act, 2013 his office of directorship was va
CS Professional · Secretarial Audit, Compliance Management and Due Diligence · PYQS · December 2018
Ragul, a director in XYZ Ltd., did not attend the Board meetings held for a period of 12 months after seeking leave of absence. Though as per Section 167(1)(b) of the Companies Act, 2013 his office of directorship was vacated: Ragul also wants to keep the directorship in XYZ Ltd. As the Company Secretary of the company the Board seeks your advice on this issue.
Answer & Explanation:
Hence, the advice to the Board would be to co-opt Ragul on the board as an Additional Director in the subsequent Board meeting held after the cited 12 months during which Ragul did not attend the Board meetings, as there is no prohibition in the Act for such co-option and re-appointment.
Topics: Directors
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