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Mbp 1

26 May 2014

Dear Friends,

1. If any director of a reportig company is a holding only 1 share in any other company/ies then also that director is required to file MBP 1 in MGT 14 with ROC??

2. Can any body provide the filed MBP form??

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7 Replies

Shilpa (Company Secretary) (234 Points)
Replied 26 May 2014

Yes...because sec 184 says if director holds more than 2% or is a director, member or promoter of other company, then director require to give disclosure in MBP-1.

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Vandana J Doshi (Practising Company Secretary) (12562 Points)
Replied 27 May 2014

Hi,

The responsibility of filing MGT 14 is of the Company.....holding of even 1 share is required to be disclosed...

For the form format, check the files section in this site.....

1 Like

Shilpa (Company Secretary) (234 Points)
Replied 27 May 2014

Dear Suriender,

I would like to rectify my earlier answer to your query i.e.

"Yes...because sec 184 says if director holds more than 2% or is a director, member or promoter of other company, then director require to give disclosure in MBP-1".

Read more at: /forum/details.asp?mod_id=292729#.U4QiTHKSzp8"

Accordingly, as per sec 184 Director is require to give disclosure in MBP-1 at following intervals :

i) Annual Disclosure

ii) When any change happens in disclosure already made.

ii) If Director becomes interseted after the contract/ arrangment is entered.

In both cases, at first BM held after such event.

Where Director of a Company is directly or indirectly concerned or interested in a contract or arrangement entered or to be entered into ,

Eligbility criteria

Situation 1 : With a Body Corporate: Where such Director or alongwith any other Director holds more than 2% or is a Promoter, Manager CEO of that body Corportae.

Situation 2: With a Firm or Other Entity: in which such Director is a Partner/ Owner/ Member.

Prohibition

Such Director cannot particiapte in such meeting.

Exemption

Where such director along with any other Director does not hold more than 2% in other Company.

And particulary in your case since your Director holds only 1 share, so your Director need not to give disclosure in MBP-1.

Regards

Shilpa

VIKAS VYAS (student) (30 Points)
Replied 27 June 2014

FORM MBP-1 IS MANDATORY FOR ALL DIRECTORS INCLUDING MANAGING DIRECTOR IN COMPANY?

Vandana J Doshi (Practising Company Secretary) (12562 Points)
Replied 28 June 2014

Yes Vikas......KMPs are also required to give the disclosure.....

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P C Agrawal (Registered independent director Past Chairman of Aurangabad Chapter of ICSI Practicing Company Secretary at Aurangabad) (8229 Points)
Replied 28 June 2014

Yes, MBP.1 is mandatory for all directors and KMPs. However, what is required to be attached with MGT.14 is only Board resolution and not MBP.1. We must appreciate that contract register (in which details from MBP.1 are recorded) is open for inspection only to members and not to public at large and hence its filing is not required. Internal document of the company should not be made public by filing with MGT.14.