Director Removal

The removal of a director is a significant corporate action governed by specific provisions of the Companies Act and the company’s Articles of Association. A director can be removed by an ordinary resolution passed in a general meeting, provided they were not appointed by the Central Government or through the National Company Law Tribunal (NCLT). Prior to removal, the director must be given a reasonable opportunity of being heard, ensuring adherence to principles of natural justice. Following the resolution, the necessary forms, like DIR-12, must be filed with the Registrar of Companies (ROC) to officially update the company’s records. This process is crucial for maintaining accurate corporate governance and ensuring that the board of directors reflects the company’s current leadership and strategic direction.