DIR 11 may be signed by CA/CS/CMA instead of Foreign Director

The Companies Act 2013 was in force from 1st April, 2014 and every professional is still trying to compile with all the provisions of the said Act. The Act has prescribed a detail procedure for effecting the resignation of the director which was not there in erstwhile the Companies Act, 1956. As per the Companies Act, 2013, the procedure for resignation of director in brief are summed as below-   images

Duty of Company in case of Resignation by Director

As per Rule 15 of Companies (Appointment and Qualification of Directors) Rules, 2014, the company shall within thirty days from the date of receipt of notice of resignation from a director, intimate the Registrar in Form DIR12 and post the information on its website, if any.

Duty of Resigning Director in case of Resignation

As per Rule 16 of Companies (Appointment and Qualification of Directors) Rules, 2014, A director shall also forward a copy of his resignation along with detailed reasons for the resignation to the Registrar within thirty days of resignation through filing of Form DIR.11 along with the fee as provided in the Companies (Registration Offices and Fees) Rules, 2014.

The Central Government hereby amend the Companies (Appointment and Qualification of Directors) Rules, 2014 by inserting a proviso for the case when the foreign director resigns, viz.-

  • These rules may be called the Companies (Appointment and Qualification of Directors) Amendment Rules, 2015.
  • They shall come into force on the date of their publication in the Official Gazette.
  • The following proviso shall he inserted-

“Provided that in case a company has already filed Form DIR-12 with the  Registrar under rule 15, a foreign                                    director of such company resigning from his  office may authorize in writing a practicing chartered accountant or                      cost  accountant in practice or company secretary in practice or any other resident director of the company to sign Form                DIR-11 and file the same on his behalf intimating the reasons for the resignation.”

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