Ad-Free CAclubindia and Daily Updates on your mobile. Subscribe Now!

do 1 director can take retirement without consent of other.

Haribhai (Business) (24 Points)

30 January 2010

Hi, I am Director in one comapny. there are only two directors in company. He had taken all original documents with him. Now company is defunctioning and that director is not in contact with our C.A. and me. If i want to wipe out all furhter liabilities can i take retirment from this company without consent of him, as he is not available from last 11/2 Year? Plz guide me to come out of it.

Reply
Follow
Share

2 Replies

Mitali Agarwal (Company Secretary) (638 Points)
Replied 30 January 2010

A Director may resign at any time and it's not necessary that his resignation should be accepted in a Board meeting of general meeting. (provided you are not appointed as WTD for a fixed period. If appointed then you may be held liable for damages for breach of contract).

Resignation will be effective from the date of resignation letter.

An intimation has to given by the Company to ROC in Form 32, but the form will not be accepted till another director is appointed in your place.

Views of other members solicited.

Upgrade to CAclubindia Pro. Subscribe Now!

Ankur Garg (Company Secretary and Compliance Officer) (114773 Points)
Replied 30 January 2010

Agree with the learned member Mitali. However even if you are an ordinary director of the co. you are still liable for all the acts done on behalf of the company till the date of ur resignation as director.