Question

A managing director being essentially a director must be an individual.

• A. True
• B. False
• C. Partly true
• D. Partly false

Answer 1

The correct option is A True

A Managing Director must be an individual and can be appointed for a maximum term of five (5) years at a time. A person who is already a Managing Director / Manager of a public company or a private company subsidiary of a public company can become the Managing Director / Manager of only one other company (whether private or public) with the prior unanimous approval of the Board of such company. However, no such restrictions are applicable to a Manager or a Managing Director of "pure" private companies.