Appointment and resignation of director on same day

A company is an artificial judicial person managed and run by natural persons known as directors.

A director is someone elected by the company shareholders to manage the company affairs as per the Memorandum of Association (MOA) and Articles of Association (AOA).

The company must appoint a director by passing a resolution in a general meeting. The company may pass a resolution to appoint a director in an Annual General Meeting (AGM). If the company decides to appoint a director in the middle of the year, it may appoint a director by passing a resolution in an Extraordinary General Meeting (EGM). 

The same procedure is to be followed for removing the director also.

• A resolution for removing a director must be passed in the general meeting of shareholders after giving the director an opportunity of being heard
• After passing the resolution, form DIR-12 must be filed with the ROC
• After filing the form, the director’s name would be struck off from the MCA website

After the resolution is passed for the appointment of an individual as director and the DIN is obtained, it takes one day to appoint him/her as the company director.