01 October 2012
In case of public limited company in its Article of Association there is no provision for qualification shares for directors. Now this company wants to amend its AOA and wants to insert the provision for the qualification shares. Now my question is that after the amendment what will be the status of directors who are not holding such qualification shares as at the time of their appointment there was no such requirement.
Whether such directors need to acquire qualification shares after the amendment in AOA and if yes, what will be the time limit within which they need to acquire such shares.
When you are going to amend your Company's article of association by adding new clause qualification shares for director then i will suggest you to also mentioned that the existing director on of before such insertion are not required (or required) to take qualification shares.
CAclubindia
