Can a ca article become director in a pvt ltd company?

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Querist : Anonymous

Querist : Anonymous (Querist)

28 November 2013 I am an article undergoing my last year of articleship. I have this querry, whether a CA article act as a director In a private limited company?

Ajay Mishra

Ajay Mishra (Expert)
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28 November 2013 Yes, very much possible, if you have completed age of 18 years then you can become director of company.

Querist : Anonymous

Querist : Anonymous (Querist)

28 November 2013 Is there any requirement to seek permission from ICAI?

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Nikhil Kaushik

Nikhil Kaushik (Expert)
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29 November 2013 yes...you need to file Form 112 with ICAI.

Ajay Mishra

Ajay Mishra (Expert)
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29 November 2013 No need to take any permission from any department.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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29 November 2013 Sir Form 112 do covers for directorship.

Ajay Mishra

Ajay Mishra (Expert)
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29 November 2013 No, it is not any kind of course. It does not involve any classes.

The provision is applicable for members to take council permission for becoming director.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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29 November 2013 Dear Sir,

Form 112 is also applicable for taking positions like directorship, partner etc. The article is also required to submit a certificate from the company stating that the said director/article shall only be attending board meetings.

Please refer part B of the Form 112

http://www.icai.org/new_post.html?post_id=6534

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VAMSI ASSOCIATES/S.PHANI RAJ

VAMSI ASSOCIATES/S.PHANI RAJ (Expert)
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29 November 2013 yes ajay mishra says is correct because if u complete the CA and practising as CA then u can take prior permission else no permission is required
but after completion of CA and if u prefer for Practice then u can intimate the same to CA Institute regarding director in a company

Nikhil Kaushik

Nikhil Kaushik (Expert)
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29 November 2013 Raj sahab,

please read the query raised here. it is about an article assistant, not a CA.

Ajay Mishra

Ajay Mishra (Expert)
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29 November 2013 Dear Nikhil,

I have made lots of company on the basis of this in earlier years now a days he is good CA.

So, i am saying that, he can be a director.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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29 November 2013 sir, i am not denying whether or not he can be a director. eligibility of directorship is distinct from ICAI regulations regulating the conduct of an article.

The second query by the querist is specifically regarding ICAI regulations wherein regulation 65/78 and Form 112 have to be invoked.

All, I am saying that 112 permission is required. Whether or not in a particular case someone has taken permission or not, doesn't mean that regulations don't require the same.

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Ajay Mishra

Ajay Mishra (Expert)
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29 November 2013 I am agree with Regulation 65, but my answer was based on my experience.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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29 November 2013 Ajay Sir,

In practical world, we do CA, CS, ICWA and B.com/M.com together. But even that is not correct as per regulations.

I personally believe in 100% compliance.

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