In a step towards making listed companies more transparent and to align the provisions related to listing agreement with the Companies Act 2013 ,Capital Markets Regulator, SEBI has approved series of amendments in Clause 49 of Listing Agreement The said amendments will be effective from 1st October 2014.
In order to provide a holistic picture position of the proposed amendments vis-à-vis the provisions of the Companies Act 2013, a tabulard comparison is given below:
| Separation of nominee director and independent director |
Nominee director shall be excluded from the definition of independent director. (Clause 49, Sub clause II (B))
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No such separation has been provided under this clause |
Section 149 (6) of the Act states that Independent director is a director different from managing director or a whole time director or a nominee director. |