Ms. Kajol is a relative of Mr. Ketan. PQR Ltd. is the Holding Company of ABC Ltd. Mr. Ketan has given a guarantee to the Director of ABC Ltd. Can Ms. Kajol be appointed as an Independent Director?
Yes, GM-SR
Incorrect AnswerYes, GM-UR
Incorrect AnswerExplanation:
Section 149(6)(d) none of whose relatives—
(iii) has given a guarantee or provided any security in connection with the indebtedness of any third person to the company, its holding, subsidiary or associate company or their promoters, or directors of such holding company, for such amount as may be prescribed during the two immediately preceding financial years or during the current financial year; or
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By: Srishti Gupta