Question

Section 203 of the Companies Act, 2013 read with Rule 8 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 mandates the appointment of Key Managerial Personnel and makes it obligatory for a _______and every other public company having a paid up share capital of rupees ______- to appoint whole-time key managerial personnel

• A. specified company; five crores or more.
• B. non-government company; eight crores or more.
• C. unlisted company; twenty crores or more.
• D. listed company; ten crores or more.

Answer 1

Answer: (D)

listed company; ten crores or more.

As per section 203 of the Companies Act, 2013 and rule 8 of Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 provides that every company belonging to such class or classes of companies as may be prescribed shall have the following whole-time key managerial

personnel:

(i) managing director, or Chief Executive Officer or manager and in their absence, a whole-time director;

(ii) company secretary; and

(iii) Chief Financial Officer :

And, Every listed company and every other public company having a paid-up share capital of ten crore rupees or more shall have whole-time key managerial personnel.