Ritzz (CA Final - Article ) (365 Points)
18 August 2013Please provide necessary guidance for the following query :
Are the Illegal acts done by an Alternate Director (which ultimately harm the company and its interests) would be binding on the Original Director or the Alternate Director (who has been appointed in place of the Original Director?
Regards
AMIT MISHRA
(Legal Professional)
(393 Points)
Replied 18 August 2013
Hi Rohan,
No, the original director cannot be directly held liable for a director appointed as alternate director in his place. The alternate director in no way represent the original director. Though indirectly he may found responsible for "illegal acts" done by the Company to its outsiders.
Thanks & Regards
Amit Mishra
Sathyam
(Student)
(38 Points)
Replied 23 August 2013
CAclubindia
