6 Nominee Directors

8/3/2019 6 Nominee Directors

1/21

NOMINEE DIRECTORS
http://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpg


2/21

Non-working director of a firm who is not an executive

director and, therefore, does not participate in the day-to-day management of the firm. He or she is usually involvedin planning and policy making, and is sometimes includedto lend prestige to the firm due to his or her standing in the

community. Non-executive directors are expected to monitor and

challenge the performance of the executive directors andthe management, and to take a determined stand in theinterests of the firm and its stakeholders.

They are generally held equally liable as the executivedirectors under certain statutory requirements such as taxlaws. Also called external director, independent director,or outside director
http://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpg


3/21

Companies have to borrow amountssometimes even larger than the amount ofpaid--up share capital.

They have to depend for this purpose onlending institutions like Banks, Mutual Funds,Public Financial Corporations etc.

All such providers of money stipulate forsafeguarding their financial involvement in thecompany that the company should appoint asmembers of its Board of Directors one or twopersons nominated by them.
http://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpg


4/21

According to Clause 49 of the ListingAgreement of the SEBI, the ND of the

public financial institutions can betreated as independent directors(2004,2006)

According to Kumar Mangalam BirlaCommittee the FIs should not have theirrepresentatives on the boards of assistedcompanies
http://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpg


5/21

Not allowed to sign any official forms or verifyany information from the company to anygovernment agency or department is correct.

Has to face the media and the public glareregularly and in times of emergencies.

Responsible for the company before law andthe authorities.

Certain taxes need to be paid by the NomineeDirector on behalf of the beneficial owner. Vatand Corporate taxes are to be paid quarterlyand annually respectively.
http://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpg


6/21

Financial performance of the company

Payment of dues to the institutions

Payment of Government dues, including excise

and customs duty, and statutory dues Inter-corporate investments and loans to or from

associated concerns in which the promoter grouphas significant interest

All transactions in shares Expenditure being incurred by the company on

management group

Policies relating to the award of contracts and

purchase and sale of raw materials, finished goods,machinery, etc
http://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpg


7/21

Not responsible for and will not make anydecisions whatsoever in connection withthe management of the entity.

Neither be identified, nor can sign entity

documents nor can sign returns on behalfof the entity.

Not have any liabilities as he will neither besigning any contract on behalf of the entity

nor signing up for obtaining a BankAccount.

Cannot and will not enter into any businesscontract or financial or moral commitment.
http://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpg


8/21

IDBI, IFCI, ICICI and IRCI create a separateDepartment with official at the level of GM andDy. GM, whose exclusive and whole-timefunction will be to represent the institutions onthe Boards of Companies.

In this way, the work of nominee Directors willbecome an integral part of the operations ofthe institutions.

The proposed Department/Cell should functionlike any other department of the institution. Outsiders should be appointed as nominee

directors only where the institution wishes tohave more than one nominee director.
http://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpg


9/21

Liability of nominee directors: Nomineedirectors are in the same position and theyowe same duties to the companies as anyother director.

Nominee directors right to corporateinformation: A nominee director , like anyother directors is bound by the rules ofconfidentiality. He is not allowed to makeunauthorized disclosures to his nominator.

Liabilities under Companies Act, 1956: Anominee director like any other director isliable for the default committed inCompanies Act.
http://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpg


10/21

New and existing entities can appoint a Nominee

Director. For a new entity, there will be an agreement

between the owner of the Company and theNominee Director (or) the company which isrendering the Nominee service. The Agreement will

also contain the responsibilities and the liabilities ofthe nominee director. For an existing entity, the nominee director will be

appointed only after the approval by the Board ofDirectors. An agreement will then be signed by theentity and Nominee service provider, NomineeDirector on its Board. The tenure of the nomineedirector will be fixed at the time of appointment.

The nominee director so appointed will not have anyvoting rights in the meetings held by the entity.
http://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpg


11/21

Section 252 has been amended toprovide that a public company having

paid-up capital of Rs. 5 crore or moreand one thousand or more smallshareholders can elect a director bysmall shareholders.

"Small shareholders" means ashareholder holding shares of nominalvalue of Rs. 20,000 or less in a company.


12/21

Two types of nominee directors

- Representing institutional investors

- Representing the government
http://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpg


13/21

A person appointed as a Nominee

Director cannot be a director of morethan 15 companies except alternatedirectorships and directorships of privatecompanies which are not subsidiaries orholding companies of public companies
http://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpg


14/21

Prevents the interests of lending

institutions by having a ND on board as

creditor Helps loan recovery as a part of overall

follow up

Secures the price sensitive information ofcompanies


15/21

In case of international nomineedirectors there is flexibility of operating

their business irrespective of theirgeographical location in the globe

Most trusted names of the businessbecome the face of the company


16/21

Place of management and control isusually determined for tax purposes asthe place where the director resides

Helps shield the real directors (beneficialowners) form heavy taxes

Helps to shield from public and media

scrutiny To prevent them from being attacked or

kidnapped

Protection of assets from litigation
http://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpg


17/21

SHADOW DIRECTOR: may find it difficult to prove that they areactually running the company and that they also have totalownership.

COMPANIES HOUSE UK: has no provision for recording shadowdirectors or the deeds of indemnity or powers of attorney whichsupport them.

DIFFERENT RESPONSE: Different banks and indeed differentbranches of the same bank might respond to nominee directorsin alternate ways. This may be due to differing interpretations of

the relevant banking guidelines and their own internal moneylaundering procedures.

Cost of the Service- A further drawback is the cost. The formationagent may sign an occasional document, but will not engage inthe company in terms of its commercial business.
http://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpg


18/21

Signing Documents

Even with a deed of indemnity,

witnessed by a professional person, theremight be some transactions which thecompany formation agent will not allowtheir nominees to enter in to.


19/21

Obtaining Assurances

It is certainly worth checking with aparticular agent that they are willing toundertake the transactions which you mayrequire them to complete before youengage their nominee services.

Any such assurances provided should beobtained in writing.

charges of insider trading can beimplicated when dealing in the companies
http://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpghttp://mybizfiler.files.wordpress.com/2008/09/pen_signature3.jpg


20/21

Directors nominated by financial

institutions are now eligible for employeestock options (ESOPs'), provided thedirector and nominating institutions signan agreement on this and a copy of it isgiven to the company.


21/21