The Companies Act, 1956
257. Right of persons other than retiring directors to stand for directorship.
(1) A person who is not a retiring director shall, subject to the provisions of this Act, be eligible for appointment to the office of director at any general meeting, if he or some member intending to propose him has, not less than fourteen days before the meeting, left at the office of the company a notice in writing under his hand signifying his candidature for the office of director or the intention of such member to propose him as a candidate for that office, as the case may be, 1[along with a deposit of five hundred rupees which shall be refunded to such person or, as the case may be, to such member, if the person succeeds in getting elected as a director].
2[(1A) The company shall inform its members of the candidature of a person for the office of director or the intention of a member to propose such person as a candidate for that office, by serving individual notices on the members not less than seven days before the meeting:
Provided that it shall not be necessary for the company to serve individual notices upon the members as aforesaid if the company advertises such candidature or intention not less than seven days before the meeting in at least two newspapers circulating in the place where the registered office of the company is located, of which one is published in the English language and the other in the regional language of that place.]
(2) Sub-section (1) shall not apply to a private company, unless it is a subsidiary of a public company.
1. Ins. by Act 31 of 1988, sec. 45 (w.e.f. 15-6-1988).
2. Ins. by Act 65 of 1960, sec. 85 (w.e.f. 28-12-1960).