Thursday, June 10, 2010

Clarification on Executive Director

GOVERNMENT OF INDIA
MINISTRY OF LAW JUSTICE & COMPANY AFFAIRS
DEPARTMENT OF COMPANY AFFAIRS
Company Law Circular No.2/82 Dated 20th January, 1983
CLARIFICATION 2
Instances have come to the notice of the Department where companies have designated executives who are not members of the board as special director, director administration, etc. Such designations give an impression to public at large and those dealing with these companies and the executives that they are full-fledged directors entitled to act as such on behalf of the companies. If in fact these executives are not directors on the board of the companies, it will be patently wrong on the part of the companies to desginate them as directors. The Department is, therefore, constrained to advise companies to desist from giving such designations to their executives which tend to mislead.

No comments:

Post a Comment

JIO Public issue source Business standard

  Jio Platforms Ltd (JPL), the Reliance Industries-controlled company that houses India’s largest telecom operator and a growing portfolio o...