CS Jaisal Mohatta (Company Secretary) (136 Points)
27 May 2014There are three Director Name A. 35% Share, B 35% Share and C 40% Share. A & B (60% Share) wants to remove C (40% Share) due to mismanagement and fraud Commited from Company Bank Accounts by using it for Personal use and making hefty amount of Transactions without any known or consent from other Director. Can A & B remove C Director according to there holdings. If Yes then Tell me the procedure according to new Compoanies act, 2013.
c.bakshi
(practising company secretary)
(3221 Points)
Replied 28 May 2014
Dear Sir,
this is provided in Section 241 of Companies Act, 2013. however to the best of my knowledge, the provisions related to opperstion and mismanagment are not yet enforcable so u need to comply it with the Provisions of Section 397 and 398 of Companies Act, 1956.
CAclubindia
