CA Desk

Remove a Director from Your Company with Ease!

Removing a director can be complicated, but not with CADesk India.

Get the process started at just ₹499/- and pay the rest conveniently after processing begins.

    Removing A Director With CADesk India

    With CADesk India you can remove a director from your company in 3 simple steps –

    We address all your queries about the removal of the director

    Our experts prepare all the required documents for the removal

    We help you get the entire process
    done

    We address all your queries about the removal of the
    director

    Our experts prepare all the required documents for the removal

    We help you get
    the entire
    process
    done
    Overview Reasons Ways to Remove Consequences Why CADesk India FAQs The Glossary
     

    It is possible to add or remove a director from the company at any time. There are different reasons why a director is removed and there are three different procedures based on the reason. Irrespective of that, CADesk India can help you with removing a director from your company and make the whole process easy for you.

     

    A director can be removed for any of the following reasons:

    • If they incur any of the disqualifications specified under the Companies Act
    • If they absent themselves from board meetings over 12 months
    • If they enter into contracts or arrangements against the provisions of Section 184 of the Companies Act
    • If they are disqualified by an order of a court or tribunal
    • If they are convicted by a court of any offence and sentenced to imprisonment for not less than six months
    • If they have not abided by the terms and protocols mentioned in the Companies Act of 2013
    • If they have resigned voluntarily from their position.
     

    There are 3 ways to remove a director from a company:

    1. When the Directors Tender Their Resignation

    The steps to be followed in this scenario are:

    • Step 1: Holding a board meeting by giving seven days of clear notice
    • Step 2: In the meeting, the board members will take note of the resignation
    • Step 3: Then they have to pass a resolution in a particular format to that effect
    • Step 4: After that, Form DIR-11 needs to be filed by the resigning director in his individual capacity
    • Step 5: The company has to file Form DIR-12 with the registrar of companies (RoC) along with the registration letter and the board resolution
    • Step 6: When all the forms are filled and the formalities for the removal of the director are done, the name of the director will be removed from the master data of the company on the Ministry of Corporate Affairs (MCA) website.

    2. Director Remains Absent from the Board Meetings for 12 Months

    • Step 1: If a director absents himself from all the meetings of the board of directors held over a period of twelve months, with or without seeking leave of absence from the board, they are considered to have vacated their office as per Section 167
    • Step 2: A Form (DIR-12) must be filed
    • Step 3: Upon completion of the formalities, the concerned director’s name will be removed from the database of the Ministry of Corporate Affairs (MCA).

    3. Removal of Director by Shareholders

    • Step 1: A notice is sent to all the shareholders for a board meeting required to be conducted within seven days from the date of the issue
    • Step 2: A resolution is passed to have a general meeting and then for the removal of the director, subject to the approval of the shareholders on the day of the meeting
    • Step 3: After providing a 21-day notice, the second meeting of shareholders is held to vote on the resolution passed earlier and the director who is being removed by the shareholders will be allowed to speak on their removal
    • Step 4: The shareholders must file Form DIR-12, along with the attachments of the board resolution, and an ordinary resolution
    • Step 5: Once all the formalities are over, the name of the concerned director is removed from the database of the Ministry of Corporate Affairs (MCA) and its website.

    This is the simplified version of the whole process. The removal procedure has to be carried out carefully and should follow the procedure laid down in the Companies Act.

    Our team at CADesk India will walk you through the entire process and will be there to help you at every step.

     
     

    DIR-12 has to be filed within 30 days from the date of resignation. If the company fails to do so, the following penalties will apply:

    • After 30 days - within 60 days: twice the government fees
    • After 60 days - within 90 days: 4 times the government fees
    • If it exceeds 90 days: 10 times the government fees
    • If it exceeds 180 days: 12 times the government fees and will be booked for the compounding offence as well
     

    Here is why you should choose CADesk India for removing a director from your company:

    • Simple and speedy process
    • Experts will guide you through the whole process
    • A resolution drafted and forms filled & filed for you
    • You get the best support
    • All your queries will be answered.

    FAQs on Remove a Director from Your Company
    with Ease!

    A director can be removed in three ways:

    • By the director by giving their resignation
    • If the director is absent from board meetings for 12 months
    • By the shareholders, if they deem it necessary.

    Yes, a company director can be removed without their consent. However, such removal calls for a strict procedure to be followed.

    The minimum number of directors required is based on the type of company. For a one-person company, it is 1, for a private company it is 2, and a public company needs to have at least 3 directors.

    A person cannot be appointed as a director if they don’t qualify under the AoA, if they are undischarged bankrupt, or if they are restricted by a court order.

    A private company can have a maximum of 15 directors.

    Yes, the process is 100% online, we will take care of the physical actions to be performed. We will provide you with a dashboard on which you can comfortably do everything.

    Yes, a person with a criminal record can be a director of a company, as long as they are not restricted specifically by a court order.

     

    AoA: Articles of Association

    DIN: Director Identification Number

    DSC: Digital Signature Certificate

    ROC: Registrar of Companies

    MCA: Ministry of Corporate Affairs

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    CA Desk is a team of highly professional CA, CS, Lawyers who driving towards the integration of technology with traditional practices to cater to the need of MSMEs in the fast-moving and cost-effective world.

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