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        Case ID :
        Companies Law

        Right of persons other than retiring directors to stand for directorship - Refund of deposit under section 160 of the Companies Act, 2013 in certain cases.

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        Directorship deposit refund clarified: board discretion to forfeit or refund deposits when voting threshold is not met. The Ministry clarifies that when a candidate for directorship in a not for profit company fails to obtain the prescribed voting threshold, the board of directors of that company shall decide whether the deposit made by or on behalf of that candidate is to be forfeited or refunded.
                          Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
                            Provisions expressly mentioned in the judgment/order text.

                                Directorship deposit refund clarified: board discretion to forfeit or refund deposits when voting threshold is not met.

                                The Ministry clarifies that when a candidate for directorship in a not for profit company fails to obtain the prescribed voting threshold, the board of directors of that company shall decide whether the deposit made by or on behalf of that candidate is to be forfeited or refunded.


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