08 February 2011
A shareholder (49000 shares) and his mother (1000 shares) were directors of the private company. The share holder with 49000 shares is the managing director and was looking into the entire operations has expired due to illness. What is the current position of the Company. Quoram is not there to arrange for meetings or adding another director. How to induct another director and run the Company. whether legal heirs of the managing director (which includes his mother, his wife and son (minor) can go for any arrangements.
08 February 2011
You can appoint another director to fill in the casual vacancy created due to the death of the managing director (Section 262). Such appointment will be valid even though requisite quorum is not present. The date of appointment of the new director shall be the date of expiry of the MD. After inducing the new director, the company can proceed to hold board meetings with the new set of directors for transacting other businesses.
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