📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!

    Question

    An independent director can be appointed for a tenure up

    to ________
    A 2 consecutive years Correct Answer Incorrect Answer
    B 3 consecutive years Correct Answer Incorrect Answer
    C 4 consecutive years Correct Answer Incorrect Answer
    D 5 consecutive years Correct Answer Incorrect Answer
    E No fixed term Correct Answer Incorrect Answer

    Solution

    Companies Act, 2013 - Section 149 – Company to have Board of directors Subject to the provisions of section 152, an independent director shall hold office for a term up to five consecutive years on the Board of a company, but shall be eligible for reappointment on passing of a special resolution by the company and disclosure of such appointment in the Board’s report. Note - No independent director shall hold office for more than two consecutive terms, but such independent director shall be eligible for appointment after the expiration of 3 years of ceasing to become an independent director.

    Practice Next
    More Banking System in India Questions
    ask-question