Additional Directors are equally accountable for corporate affairs as Regular Directors: Calcutta High Court

According to a recent ruling by the Calcutta High Court in Surendra Kumar Singhi v. Registrar of Companies, West Bengal & Anr., additional directors appointed under Section 161 (1) of the 2013 Companies Act are just as accountable for the company’s actions as regular directors.
Justice Shampa Dutt (Paul), citing the pertinent clauses of the Companies Act, stated that an additional director has the same rights, obligations, and responsibilities as other directors.
The Court observed that the way in which they were appointed and the length of their terms of office distinguished the two categories most significantly.

This news is written by Ms. Amrita Singh, Research Assistant, All India Legal Forum.