Query: One of our companies needs to appoint Managing Director we had given his tenure as 3 years from the date of appointment. Presently he is 68 years, my query is whether his appointment needs central government approval?
Answer: As per Section 196(3) sub clause (a) of the Companies Act 2013, No Company shall appoint any person as Managing director who has attained the age of 70 years. Provided that appointment of such person may be made by passing special resolution in which case the explanatory statement annexed to the notice for such motion shall indicate the justification for appointing such person.
Therefore, you are not required to take any prior approvals from the Central Government for the appointment.
