Regulation 9B - Conditions of appointment of directors - Securities And Exchange Board of India (Depositories And Participants) Regulations, 1996

Conditions of appointment of directors. 9B. (1) The appointment and re-appointment of all shareholder directors on the governing board of every depository shall be with the prior approval of the Board. (2) The public interest directors on the governing board of a depository shall be nominated by the Board. (3) Public interest directors shall be nominated for a term of three years, or for such extended period, as may be approved by the Board: Provided that such term shall be subject to retirement and reappointment. (4) If any issue arises as to whether an assignment or position of a public interest director is in conflict with his role, the Board s decision shall be final. (5) Upon completion of a term of three years as per sub-regulation (3), a public interest director may be renominated after a cooling-off period of one year or such period as the Board may deem fit in the interest of the securities market. (6) Public interest directors shall be paid only sitting fees as specified in the Companies Act, 1956.