Who is Disqualified Director?
What are true ways for Removal of Director Disqualification?
- In this case, application will be filed before NCLT;
- File necessary documents with the Registrar.
- In case company ceases to carry out its operations, petition will be made with High Court;
- Overdue Documents as per section 403;
- File necessary documents with the Registrar
Main process for Removal of Director Disqualification
- Legalforever will draft a writ petition which will be subsequently filed with the high court;
- An advocate will appear for the pleadings;
- High Court will give an interim order;
- Thereafter order of the High Court will be filed with the registrar of Companies along with the pending compliance documents;
- DIN will be activated and disqualification will be removed
Impact of Disqualification on Directors & Companies:-
- The decision of the authority of disqualification of Directors led to deregistration of DINs of directors hence it’s jeopardized the career of directors.
- This decision has barred disqualified directors for the period of 5 years. The directors cant became the director in a new company nor in existing company
- Disqualified directors are not permitted to operate company’s accounts.
- Directors are not only disqualified from the company which has not complied with the prescribed rules & regulations but also from other companies in which they are on board of directors.