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According to section 255 of the companies Act, the Directors must be appointed by the.
  • a)
    Central Government.
  • b)
    Company Law Tribunal.
  • c)
    Company in General Meeting.
  • d)
    Board of Directors.
Correct answer is option 'C'. Can you explain this answer?
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According to section 255 of the companies Act, the Directors must beap...
ANSWER
Section 255 in The Companies Act, 1956. 255. Appointment of directors and proportion of those who are to retire by rotation. (b) save as otherwise expressly provided in this Act, be appointed by 
the company in general meeting
.
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Most Upvoted Answer
According to section 255 of the companies Act, the Directors must beap...
- According to Section 255 of the Companies Act, directors are appointed by the company in a general meeting.
- This process ensures that shareholders, who are the true owners of the company, have a say in who manages their investment.
- The general meeting provides a platform for shareholders to vote on and approve the appointment of directors.
- This democratic approach maintains transparency and aligns the directors' interests with those of the shareholders.
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According to section 255 of the companies Act, the Directors must beap...
Explanation:

According to section 255 of the Companies Act, the appointment of Directors must be done by the company in a general meeting. Let's break down the explanation into the following headings:

Section 255 of the Companies Act:
- Section 255 of the Companies Act deals with the appointment of Directors in a company.
- This section specifies the procedure for appointing Directors, including their appointment by a company in a general meeting.

Appointment by the Company in General Meeting:
- The correct answer to the question is option 'C', which states that the Directors must be appointed by the company in a general meeting.
- The company in general meeting refers to a meeting where all the shareholders or members of the company are present.
- This is the most common and widely accepted method of appointing Directors in a company.

Other Options:
- Option 'A' states that the Directors must be appointed by the Central Government. However, this is not correct as the Companies Act does not mandate the Central Government to appoint Directors.
- Option 'B' states that the Directors must be appointed by the Company Law Tribunal. This is also not correct as the Company Law Tribunal does not have the authority to directly appoint Directors.
- Option 'D' states that the Directors must be appointed by the Board of Directors. While the Board of Directors plays a significant role in the appointment process, the ultimate authority lies with the company in a general meeting.

Role of the Company in General Meeting:
- The company in a general meeting is responsible for the appointment of Directors.
- Shareholders or members of the company have the right to nominate and appoint Directors through a voting process.
- The appointment of Directors is usually based on the recommendations made by the Board of Directors or the Nomination and Remuneration Committee.

Conclusion:
- According to section 255 of the Companies Act, the Directors must be appointed by the company in a general meeting.
- This method ensures that the appointment process is transparent and that the shareholders or members of the company have the opportunity to participate in the decision-making process.
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According to section 255 of the companies Act, the Directors must beappointed by the.a)Central Government.b)Company Law Tribunal.c)Company in General Meeting.d)Board of Directors.Correct answer is option 'C'. Can you explain this answer?
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