Can an alternate director be appointed for an independent director?
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Yes, an alternate director can be appointed for an independent director, but with important conditions. Specifically, the person proposed as an alternate must satisfy all the qualification criteria required for independent directors. This is mandated by the Companies Act, 2013, which states that noRead more
Yes, an alternate director can be appointed for an independent director, but with important conditions. Specifically, the person proposed as an alternate must satisfy all the qualification criteria required for independent directors. This is mandated by the Companies Act, 2013, which states that no one can be appointed as an alternate director for an independent director unless he is qualified to be an independent director.
Additionally, it’s important to note that for listed companies, regulatory amendments effective from October 1, 2018, have restricted the practice—meaning listed entities are not permitted to appoint alternate directors for their independent directors.
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