Question

State the following statement is True or False:

The share qualification of the directors of a joint stock company is prescribed in Articles of Association.

• A. True
• B. False

Answer 1

The correct option is A True

Generally, in a public company or a private company subsidiary of a public company, two-thirds of the total numbers of Directors are appointed by the shareholders and the remaining one-third is appointed in accordance with the manner prescribed in Articles failing which, the remaining one-third of the Directors must be appointed by the shareholders. The Articles of a public company or a private company subsidiary of a public company may provide for the retirement of all the Directors at every annual general meeting.