Section 162.
Appointment
of directors to be voted individually
1) At a general meeting of a company, a motion
for the appointment of two or more persons as directors of the company by a
single resolution shall not be moved unless a proposal to move such a motion
has first been agreed to at the meeting without any vote being cast against it.
2) A resolution moved in contravention of
sub-section (1) shall be void, whether or not any objection was taken when it
was moved.
3) A motion for approving a person for
appointment, or for nominating a person for appointment as a director, shall be
treated as a motion for his appointment.
Section 163.
Option to adopt
principle of proportional representation for appointment of directors.
Notwithstanding
anything contained in this Act, the articles of a company may provide for the
appointment of not less than two-thirds of the total number of the directors of
a company in accordance with the principle of proportional representation,
whether by the single transferable vote or by a system of cumulative voting or
otherwise and such appointments may be made once in every three years and
casual vacancies of such directors shall be filled as provided in sub-section
(4) of section 161.
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