03 February 2017
Whether powers under section 179(3) can be delegated to a committee comprising of one executive director and one employee of the committee? The delegation shall be done through a resolution passed at the Board meeting.
03 February 2017
YES AS PER THE PROVISO OF SECTION 179(3), BOARD BY PASSING RESOLUTION AT BOARD MEETING MAY DELEGATE THE SPECIFIED POWERS TO BORROW THE MONEY , INVEST THE FUNDS OR GRANT LAON OR GIVE GURANTEE OR SECURITY TO ANY OF COMMITEE OF DIRECTORS , MANAGING DIRECTORS, MANAGER OR ANY OTHER PRINCIPLE OFFICER OF THE COMAPNYON TERMS AND CONDITIONS AS MAY BE SPECIFIED.
05 February 2017
Thank you Sir for your reply, My query on the topic is that, in Committee One member will be Director and Other member will be Employee of the Company. Whereas the Proviso says " Committee of Directors". So, whether such delegation will be valid as per law?
CAclubindia
