04 January 2016
As per sub section b of section 167, if a director absents himself from all the meetings of the BOD held during a period of 12 months with or without seeking leave of absence of the Board, he is liable to vacate his office of Directorship.
On vacation of office of director, the company is required to file Form DIR – 12 to the Registrar of Companies. If the office held by any director has become vacant on the ground of disqualification provided above and the concerned director continues to function, he shall be punishable with an imprisonment for 1 year and a fine from 1lakh to 5 lakh rupees.
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