Interested Director can't take part in voting - Professionals - Legal - TIK Share
2 Likes 517 Views

Interested Director can't take part in voting


Heena Golani

2014-03-30

As per new companies act interested director can't take part in Voting.(Restiction applicable both for Public Compnay and private company). This cause great difficulty in practical senario. e.g . If there is two Directors in private company Mr.X and MRS. X,   and they want to increase remuneration Mr X, now as per new companies act Mr x can't  participate in Voting.  How to Remove this difficulty?

CA Pulkit Sharma

2014-03-30

In my opinion,

The remuneration can be fixed at AGM. The Shareholders can fix the remuneration and also the remuneration is governed by provisions in companies act.

Its just my opinion. Need a valid reason for it though.

Reply

Rahul Rai

2014-03-31

Hi, Hina

Which all directors can be said as related? What companies act say about it?

Reply