09 March 2010
As per Sec 386 Number of companies of which a person may be appointed manager
(1) No company shall, after the commencement of this Act, appoint or employ any person as manager, if he is either the manager or the managing director of any other company, except as provided in sub-section (2).
(2) A company may appoint or employ a person as its manager, if he is the. manager or managing director of one, and not more than one, other company:
Provided that such appointment or employment is made or approved by a resolution passed at a meeting of the Board with the consent of all the directors present at the meeting, and of which meeting and of the resolution to be moved thereat, specific notice has been given to all the directors then in India.
My Query is, is it necessary to send specific notice to director who is reside outside India? because sec. say it is only to "all the directors then in India". Can appointment was held as null and void?
10 March 2010
As the SEction states it very clearly, the notice has to be sent to all the directors then in India. The resolution would not be void is specific notice to director who resides outside India is not sent.
CAclubindia
