According to the Companies Act of 2013, the board of directors has the legal ability to dismiss or remove a company director. To make such a significant decision, there must be a solid and convincing rationale. Reasons include the director's ineffectiveness, any director's fraud, a disagreement among the directors, or even the director's own resignation for personal reasons.
An Ordinary Resolution must be approved in order to remove someone. The BOD members will be able to effectively dismiss the director thanks to this statement, which will indicate that the director was not chosen by the central government.
If the designated director challenges the decision of removal in a legal way and take the matter to the court. This will involve a lot of legalities and create a lot of hassle for the existing directors.
However, Sujata Associates is a professional legal service provider dealing with business legalities for over 20 years. With a vast knowledge of business law, we can easily deal with any possible scenario in a legal way. Even during the Covid-19 pandemic, we are providing easy and simple service processes for our clients via our online portal. Company Director Removal in Kolkata is not an issue anymore. Get in touch with us today.
