Remove Director/Partner in Company
Start your Add/remove Director today!
It is event-based requirements for Companies registered under Companies Act, 2013. Whenever Company decide to add or remove the Director on its Board, it need to file form to Registrar of Company regarding the alteration of its Board Composition.
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Start your Add/remove Director today!
It is event-based requirements for Companies registered under Companies Act, 2013. Whenever Company decide to add or remove the Director on its Board, it need to file form to Registrar of Company regarding the alteration of its Board Composition.
What is Add/Remove Directors or Partners
A director of a company is a person appointed by the shareholders to manage the company’s operations. It is legal to make any changes to a company’s Board of Directors (BOD) in accordance with the provisions of the Companies Act of 2013. The need for a change in a company’s director must be adequately justified and approved by all of the company’s shareholders/existing directors. A change in director entails either the removal of a director from the Board of Directors list or the appointment of a new director to the Board of Directors list.
Different Types of Directors in a Corporation
Managing Director (MD): A Director who, by virtue of a company’s AOA, a written agreement with the company, or a resolution passed in the company’s annual general meeting or by its Board of Directors, is delegated significant powers of managing the company’s business activities.
Executive Director (ED): An ED is a company employee who is heavily involved in the management of the company’s business activities. ED is involved in the day-to-day operations of the company.
Non-Executive Director (NED): An NED is not a full-time employee of the company; they are generally professionals who have knowledge of the company related to their profession but do not actively participate in the company’s day-to-day operations.
Alternate Director: An alternate director may be appointed by the Board of Directors in a general meeting to act for a director known as the original director while he or she is away from India for a period of three months or more.
Director of Operations: Additional Directors are generally appointed by the company when there is an excess workload that cannot be managed by the existing BOD or when the company requires technical expertise to solve a technical problem.
Nominee Director: A director who is appointed by a third party is referred to as a “nominee director.” These directors are generally appointed by financial institutions in accordance with any law or agreement or by the central or state government as a result of their ownership of a government company.
Documents Required for Removal of Directors/Partners in a Company
In case of appointment:
- Certified copy of Board Resolution
- Consent to Act as Director in form DIR-2
- Declaration that he is not Disqualify in form DIR-8
- Disclosure of his Interest in form MBP-1
In case of Resignation:
- Resignation Letter
- Acknowledgement copy of such resignation.
- Corpseed has received your request to add or remove directors or partners.
- The procedure for removing a director from a company’s board of directors would be entirely dependent on the current board of directors.
- Obtain the consent of the director to be appointed, as well as a resignation letter in the event of removal.
- Your company must hold a board meeting to add or remove directors and pass a board resolution.
- Following the adoption of the Board Resolution, we will prepare and file the necessary documents with the MCA to register the removal or addition of directors.
- A dedicated resource who is professionally skilled in the addition or removal of directors will be assigned.
- Throughout your Corpseed journey, you can contact the assigned resource at any time for consultation and assistance with the change in directors.
- Our resource will gather all required documents/information and file a director change with MCA.
Section 33(1) specifies three aspects of the test of good faith required for expulsion. The partnership’s best interests must be served by the expulsion. A notice of expulsion must be served on the partner who is to be expelled. The partner must be given an opportunity to be heard.