A resignation of director can be effected by the existing director tendering his resignation to the board of directors.
You can have an existing director resigned from your company as long as they are not the only director that is currently listed on the board of directors.
If you are seeking to replace a single director with another one, you would need to add the new director first before having the old one resigned to ensure that there is always at least one serving director listed for the company at all times.
The sole company director must also be a person, not a corporate entity such as another company or a firm.
Upon receiving the intention from the director to resign as company director, the board of director must notify the company secretary.
The company secretary will prepare the resolution for the board to approve the resignation of the director and then submit the relevant document to SSM.
The information indicated in the document submitted to SSM includes:
In some circumstances, the board of directors may refuse to accept the resignation of director and refuse to lodge the resignation document to SSM.
The refusal may due to the following considerations:
It is important to have the mutual understanding from all parties to resolve the matter in the win-win situations.