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If nothing is mentioned in the articles of association of a company regarding the appointment of first directors of a company, the subscribers to the memorandum of association shall be deemed to be the first directors of the company (including a private company which is a subsidiary of a public company).

The first directors shall hold office till directors are appointed in accordance with the provisions of section 255 at the first general meeting held after the date of incorporation.

Ø The particulars of the director’s shareholding will be entered in the Register of Directors’ Shareholdings. Ø Information relating to the director’s interests in other companies, firms and also names of his relatives for the purposes of sections 297 and 299 of the Act will be obtained.

A general notice of the interests under section 299 will also be given in Form No.24 AA prescribed under the Companies (Central Government’s) General Rules & Forms, 1956.

The Department of Company Affairs (Now, Ministry of Corporate Affairs) vide DCA’s Circular No.

1/95 14/6/94-CL-V, dated 16 February, 1995 advised that at least one of the promoters of the company, whose names were mentioned in the application for availability of the company’s name, must be the first director of the company.

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Thus, a body corporate, an association of persons or a partnership firm cannot be appointed as director of any company.

Thus, only those subscribers to the memorandum who are individuals shall be deemed to be the first directors of the company if the articles do not mention the names of first directors.

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Appointment of First Directors of the Company “First directors” mean those directors who hold office from the date of incorporation of the company.

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However, it is advisable to file them at the time of incorporation.

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