MCA exempts experienced KMP & Directors from Online Test

MCA exempts experienced Key Managerial Personnel and Directors from Online Test on Appointment of Independent Directors 

G.S.R._(E):- In exercise of the powers conferred by section .1.49 read, with section 469 of the Companies Act,2013 (1g of 2013), the Central Government hereby makes the following rules further to amend the Companies (Appointment and Qualification of Directors) Rules, 2014, namely:-

1. (1) These rules may be called the Companies (Appointment and Qualification of Directors) Amendment Rules, 2020.

(2) They shall come into force on the date of their publication in the Official Gazette. 2′ ln_the Companies (Appointment and Qualification of Directors) Rules, 2014, in rule 6,

(a) in sub-rule (1), in clause (a), for the words, three months, the words “five months” shall be substituted;

(b) in sub-rule (4),(i) for the first proviso, the following proviso shall be substituted,
“Provided that an individual shall not be required to pass the online proficiency self-assessment test, when he has served as a director or key managerial personnel, for a total period of not less than ten years, as on the date of inclusion of his name in the databank, in one or more of the following, namely:

(a) listed public company; or

(b) an unlisted public company having a paid-up share capital of rupees ten crores or more; or

(c) body corporate listed on a recognized stock exchange”.

(ii) in the second proviso, for the word ”companies”, the words “companies or bodies corporate” shall be substituted.

Note:-

The principal rules were published in the Gazette of India, Extraordinary, Part II, section 3, sub-section (i) aide notification number G.S.R. 259(E), dated the 31st March 2014 and were last amended aide not*ticatton number G.S.R. 804 (E), dated the 22nd October 2019.

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