I was reading a debate on this forum - whether form 23 to be filed after a board meeting appointing MD with terms of remuneration OR after the GM for the approval of members for the same.- various views were presented .- I am still not very clear even aftr referring to sec. 192
Ideally the following steps are involved in the appointment of the MD
1.The directors approve the draft agreement of the appointment of MD with remunerations, subject to the approval of members/ cent. Govt. Hence, the agreement is not yet finalised/executed.
2. The members approve the appointment and terms of payment of rem. based on the resolution and expl. stat. subject to he cent. gov. approval, If required.
3. The board or any committee thereof can execute the agreement only after procuring the consents in 2. above.
Then when the form 23 need to be filed ? after 1,2 or 3?
kindly clarify.
CAclubindia
