Under Section 165 Companies Act 2013, a person can hold directorships …

Question

Under Section 165 Companies Act 2013, a person can hold directorships in a maximum of:

Accepted Answer

B. 20 companies (with a sub-limit of 10 PUBLIC companies; private companies subsidiary of public are also treated as public)

1. Section 165(1) Companies Act 2013: 'No person, after the commencement of this Act, shall hold office as a director, including any alternate directorship, in MORE THAN 20 COMPANIES AT THE SAME TIME.'
2. Proviso: the maximum number of public companies in which a person can be appointed as director shall NOT EXCEED 10.
3. Explanation: For reckoning the limit of 10 public companies, directorship in a private company which is either a holding/subsidiary of a public company shall be INCLUDED.
4. SEBI LODR Regulation 17A further restricts independent directors of listed entities to 7 listed entities (3 if also a WTD/MD in any listed entity).
5. Hence option B is correct.
_Source: Companies Act 2013 (Act 18 of 2013), Govt. of India MCA — Companies Act 2013, Section 165_

Answer

10 companies in total, with no exception being permitted for any class of companies (cf. Companies Act 2013, Section 165)

Answer

5 companies as Whole-Time Director and 10 companies as Non-Executive Director, summing to 15 (cf. Companies Act 2013, Section 165)

Answer

30 companies including all classes of companies registered under the Companies Act (cf. Companies Act 2013, Section 165)