08 January 2011
Company X is a holding listed co., It is mandatory for appointment of its independednt director in its subsidiary co., The independent director desires to appoint an alternate director for him
Now the query is Should the alternate director so appointed should also be an independent director. Any mandatory rule for that.
Clause 49(III) of the Listing Agreement provides for the appointement of One Independent Director on the Board of Directors of Listed Holding Company on the Board of material unlisted Indian subsidiary.
When an Independent Director is so appointed, his alternate must also be an Independent Director...
CAclubindia
