gunesh
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Hi I want to know, Can a Company appoint a Managing Director who is already a Managing Director or Manager in another Company?
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veeru
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Nothing contained in this sub-section shall disentitle a key managerial personnel from being a director of any company with the permission of the Board. Further, a whole-time key managerial personnel holding office in more than one company at the same time on the date of commencement of this Act, shall, within a period of six months from such commencement, choose one company, in which he wishes to continue to hold the office of key managerial personnel.
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Pushkala Santhanam
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Section 203 of the Companies Act, 2013 contains provisions regarding the appointment of Key Managerial Personnel.
Accordingly, a whole-time key managerial personnel shall not hold office in more than one company except in its subsidiary company at the same time.
Nothing contained in this sub-section shall disentitle a key managerial personnel from being a director of any company with the permission of the Board. Further, a whole-time key managerial personnel holding office in more than one company at the same time on the date of commencement of this Act, shall, within a period of six months from such commencement, choose one company, in which he wishes to continue to hold the office of key managerial personnel.
A company may appoint or employ a person as its managing director, if he is the managing director or manager of one, and of not more than one, other company and such appointment or employment is made or approved by a resolution passed at a meeting of the Board with the consent of all the directors present at the meeting and of which meeting, and of the resolution to be moved thereat, specific notice has been given to all the directors then in India.
