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    Question

    How many directors can be appointed by small

    shareholders in a company?
    B 1 Correct Answer Incorrect Answer
    C 2 Correct Answer Incorrect Answer
    D 3 Correct Answer Incorrect Answer
    E Depends on size of the company Correct Answer Incorrect Answer

    Solution

    Companies Act, 2013 - Section 151 – Appointment of director elected by small shareholders A listed company may have one director elected by such small shareholders in such manner and with such terms and conditions as may be prescribed. Explanation — For the purposes of this section “small shareholders” means a shareholder holding shares of nominal value of not more than twenty thousand rupees or such other sum as may be prescribed.

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