CA Rachit Agrawal (CA Practice) (400 Points)
19 February 2012comment on the following..
1. The experience of a shareholder can be regarded as experience of a company.
2. Ultra vires borrowings cannot even be ratified by a resolution passed by the company in general meeting.
3. A forged transfer can pass no title and nulity.
4. No approval of the central government is required to remove a person from Managing directorship.
Ajinkya Kurdukar
(Lawyer)
(44 Points)
Replied 21 February 2012
Hi Ranchit,
1.No. the statement is incorrect as the Shareholder and the company are distinct legal entity.
2.THis statement depends entirely on the case. Now, if the act is an ultra vires the Director but intra vires the company, it can be made good by passing the resolution as you said, but in case the act is ultra vires the comany itself (asin the act is beyond the powers of the company as per the AOA of the company) then it will be of no sense to ratify it as it will still be ultra vires.
3. As fas as i think, this is correct.
4. I think this is correct too,atleast in case of a pvt Co. as there MD is not compulsory.
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